Dubai: Gold prices slip in early trade, losing gains from previous day
The Dubai markets witnessed gold prices decline during Wednesday morning's opening hours after previous gains from Tuesday.
According to the Dubai Jewellery Group data 24K traded at Dh351.25 per gram during Wednesday morning sessions following a decrease from its Dh351.5 per gram closing price on Tuesday.
During Wednesday morning trading in Dubai markets 22K gold sold for Dh326.75 per gram while 21K gold went for Dh313.25 per gram and 18K gold sold at Dh268.5 per gram. Spot gold remained unchanged at $2,914.36 per ounce across global markets.
The weakening US dollar along with decreasing Treasury bond yields have supported gold's status as a safe-haven asset during unstable economic periods.
Senior market analyst Rania Gule from xs.com's Mena region reported that gold prices fluctuate significantly while staying near $2,900 due to multiple economic and geopolitical market effects.
Gold's upward trend is sustained by ongoing worries about global trade confrontations and geopolitical tensions. President Donald Trump’s trade policies have put markets on edge by creating increased economic uncertainty according to her statement.
Investors are turning toward gold as a protective asset because fears of a possible U.S. recession increase interest in stable investments to shield capital from market fluctuations. Traders keep watching changes in US trade policies and economic situations because signs of economic downturn from tariffs might lead the Federal Reserve to lower interest rates which would weaken the US dollar and make gold more attractive as a non-yielding asset.
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