Buying gold in Dubai? Prices stay elevated after recent gains

Dubai: Dubai’s gold market remained steady on Friday morning, with 24-karat gold trading at Dh515.75 per gram and the 22-karat variant at Dh477.50. The market held firm after three consecutive sessions of gains, mirroring global trends as bullion prices consolidated near record levels. (Check latest UAE gold prices here, alongside prices in Saudi Arabia, Oman, Qatar, Bahrain, Kuwait, and India.)

Over the past week, local prices have trended upwards, tracking international momentum. From Dh505.75 per gram at the start of the month, the 24-karat price has climbed nearly Dh10, with steady progression seen through the second week of December. The 22-karat rate has followed a similar trajectory, rising from Dh468.25 early in the month to Dh477.50 by Friday.

Internationally, spot gold was little changed around $4,280 an ounce, after gaining 1.2% in the previous session. Analysts attribute the stable tone to expectations that the US Federal Reserve will maintain a dovish outlook following this week’s interest-rate cut. The central bank signalled that further monetary easing remains possible in 2026, prompting traders to price in at least two additional rate reductions.

Gold prices have surged over 60% in 2025, achieving their strongest annual performance since 1979. Silver has climbed even more sharply, more than doubling in value and touching a record high of $64.3120 an ounce on Thursday. Analysts cite heavy central bank purchases, sustained ETF inflows, and reduced investor appetite for sovereign debt as key drivers behind the rally.

According to the World Gold Council, holdings in gold-backed exchange-traded funds have expanded every month this year with the sole exception of May, reflecting consistent investor appetite. Silver, meanwhile, has benefited from supply-side tightness and dislocations across major trading centers.