Gold holds near record after three straight days of hitting a new high

Dubai: Gold rates in the UAE were trading close to record levels after rising Dh45 in the past four weeks — nearly 10% this month. The rally has picked up pace, leaving UAE buyers preparing for further price increases.

On Wednesday morning, 22K gold was Dh418.75 per gram and 24K was Dh452.25. Prices were less than Dh1 higher than Tuesday’s close but remain at levels that make gold less affordable for many buyers.

(Check latest UAE gold prices here, alongside prices in Saudi Arabia, Oman, Qatar, Bahrain, Kuwait.) Meanwhile, the Indian gold rate for 24-carat gold spiked to ₹11,569 per gram, and the rate for 22-carat gold rose to ₹10,605 per gram on Wednesday morning. 

Gold prices held just below record levels after three days of gains. Investors weighed comments from US Federal Reserve officials, including Chair Jerome Powell, and rising geopolitical tensions over Russia.

Spot gold traded near $3,761 an ounce on Wednesday, about $30 below Tuesday’s record high - the third day in a row gold set a new high.

Powell said the US job market and inflation face risks but gave no signal on whether he would support another interest rate cut in October.

Why gold is strong this year

• The central bank rate cuts last week.

• Heavy central bank buying of gold.

• Rising ETF demand — gold-backed funds saw the biggest inflows in three years last week, almost 400 tons added so far in 2025.

• Reports that China may act as a custodian of foreign sovereign gold reserves, boosting confidence.

Silver has also surged, making both metals among the best-performing commodities this year.