Dubai gold price drops - again - ahead of April 30's 'Akshaya Trithiya'

Dubai: The Dubai gold rate is dropping – and it couldn’t be happening in a better week for shoppers out there. A gram of 22K is at Dh367 (and Dh396.25 for 24K) and showing signs that there could be more price dips in the next 24-48 hours.

These are the lowest levels in the last 7 days, and there remains a good chance that the Dubai gold price could end up around Dh360.

Will these be enough to turbo-charge a clear spike on April 30 and the Indian gold buying festival of ‘Akshaya Trithiya’? Based on trends, gold retailers say that UAE resident-shoppers are back in the game. “There have been early bookings to ensure price lock-ins ahead of the actual April 30 purchase,” said a jeweler. “That’s been clear during the last weekend, and there is hope of the price lowering further.”

It’s only in comparison over the last 7 days that the current Dubai gold rate is more buyer-friendly. The lowest since March 30 has been Dh331.5 for 22K (Dh356.25 for 24K) on April 7. “But a lot has changed in April itself, first with the US announcement of tariffs, then the dollar weakening after some of President Trump’s remarks, and other factors,” said a commodities analyst. (In between Dubai gold rate had even soared to Dh388 for 22K and over Dh400 for the 24K kind.)

“So, today’s current price of Dh367 is still a good level for an investment.”

Shoppers are checking out all the promotions that are there, whether it’s retailers slashing making charges and offering gold coins on a minimum purchase.

"Retailers are rushing out with up to 50% cuts in making charges, or even removing it altogether on some gold coin purchases," said a jeweller. "If shoppers are assured that they are getting more dirham savings on making charges, then the actual price of a buy looks even more reasonable."

In the global metals market, bullion is trading is at $3,280 an ounce, well down on the $3,318 it closed at on Friday last. Another $30-$50 an ounce drop puts the ball in shoppers' favour- they haven't had a favourable run for weeks now.