Dubai gold prices stay low this weekend — will you see another Diwali-like drop again?

Dubai gold price reaches Dh482.50, global bullion hovers near $4k after rate cuts

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Nivetha Dayanand, Assistant Business Editor and Justin Varghese, Your Money Editor
Gold prices in Dubai eased further after last week’s record highs, prompting buyers to weigh whether to enter the market now or wait for deeper declines.
Gold prices in Dubai eased further after last week’s record highs, prompting buyers to weigh whether to enter the market now or wait for deeper declines.
Bloomberg

Dubai: Gold prices in Dubai stayed below Dh500 per gram for 24K this weekend but have risen by Dh6 from last week’s monthly low. But will prices see another significant correction after the recent post-Diwali crash?

Retail prices for 24-karat currently stood at Dh482.25 per gram, up from Dh476.25 on Thursday. The widely popular 22-karat variant climbed to Dh446.50 from Dh441 earlier. (Check latest UAE gold prices here, alongside prices in Saudi Arabia, Oman, Qatar, Bahrain, Kuwait, and India.)

The move came as traders reacted to interest rate cuts in the US and UAE. Gold prices have stayed steady this week, moving between $3,914 and $4,026 an ounce.

Vijay Valecha, Chief Investment Officer at Dubai-based Century Financial, attributes this to the market just taking a breather after big gains, not showing weakness.

"If prices rise above $4,106, gold could climb to around $4,200, but if they fall below $3,925, they may slip to about $3,850," he added.

Talks between Presidents Donald Trump and Xi Jinping signalled a temporary easing of tensions. A one-year pause is seen as stabilising relations while giving each side time to reduce strategic dependence. The shift underscored China’s growing economic weight relative to Trump’s first term, renewing demand for safe-haven assets.

Second weekly loss

Gold also recorded its second weekly loss, down more than 2% this week. Recent price pressure reflects reduced expectations for additional Federal Reserve cuts.

ETF outflows added to the softer tone. Gold-backed exchange-traded funds saw a sixth straight day of withdrawals on Wednesday, the longest run since April, based on Bloomberg-compiled data.

Despite the cooling in momentum, gold prices have advanced more than 50% this year. Investors sought protection from market risk while central banks continued to build reserves. According to the World Gold Council, central banks purchased 28% more gold in the third quarter compared with the previous period, reversing earlier declines.

The combination of steady local retail buying, central-bank demand and shifting geopolitical dynamics continues to anchor sentiment in Dubai’s gold market, even as international traders reassess how far monetary policy easing will go in the year ahead.

Nivetha Dayanand
Nivetha DayanandAssistant Business Editor
Nivetha Dayanand is Assistant Business Editor at Gulf News, covering aviation, financial markets and commodities. A business and financial journalist with a strong interest in multimedia storytelling, she regularly takes complex financial and economic subjects beyond the written word, producing explainer videos that make them easier for a wider audience to understand. Nivetha has interviewed senior policymakers, business leaders and global financial figures both on and off camera. Her past guests include UAE Minister of Economy and Tourism Abdulla bin Touq Al Marri, Khaled bin Alwaleed Al Saud, a member of the House of Saud and the founder and CEO of KBW Ventures, Jihad Azour, Director of the Middle East and Central Asia Department at the International Monetary Fund and Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu. She has also hosted and moderated panels, conferences and awards shows, bringing her newsroom experience to live conversations on business, finance and the economy. An Erasmus Mundus journalism alum, Nivetha is drawn to stories that affect people directly and to reporting that gives a platform to voices that might otherwise go unheard. She was among the first journalists to speak to Petrofac employees in the UAE about unpaid salaries, broke the news of the planned demolition of Dubai’s well-known “Toyota Building”, and helped set the record straight on widely circulated claims that a giant replica of the Moon was coming to Dubai. More recently, her exclusive interview with EDGE Group CEO Hamad Al Marar revealed how the UAE-based defence group deployed its systems along the country’s shore border and established a geofence around the UAE within 48 hours of the February 28 escalation. Prior to joining Gulf News, Nivetha worked at ITP Media, where she helped launch Finance Middle East, a new publication covering the region’s financial sector. Her role spanned reporting and editing, video production, interviews and events. Across print, digital, and video, she focuses on finding the people behind business stories and explaining why those stories matter to the audience reading or watching them.
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