Why Dubai gold price has surged ahead of Eid Al Adha holiday

Gold surges over latest global market concerns about US tariffs

Last updated: June 02, 2025 | 12:50

Manoj Nair, Business Editor

1 MIN READ

In just 5 hours, the Dubai gold rate gains Dh7 a gram. Will this spoil the mood of shoppers during Eid?

Salamat Hussain/Gulf News

Dubai: UAE gold buyers have just been hit by a price shock – in just 5 hours, the Dubai gold rate has shot up by Dh7.5 a gram to Dh374.5 for 22K. The 24K has again gone past the Dh400 mark.

The surge comes over renewed concerns markets and investors have over US tariffs, and whether the deal struck with China will fall apart.

Also Read: Should UAE shoppers go for gold bars or '0% making charge' jewellery as investment?

Whatever be the reason, this is the last thing gold buyers in the UAE wanted to see, especially with Eid Al Adha promotions underway from today. (These will last until June 9.)

Jewellery industry sources confirmed that shopper visits to shops are nowhere near levels this close to a major Eid promotion. "If the price rise had happened over the course of a day or so, shoppers looking for Eid deals might have been able to take it in their stride," said a gold retailer.

"But a rise of Dh7 in hours is not something they will be able to bear. This is as good as a total write-off of a day."

What are bullion prices looking like now?

From around $3,000 an ounce levels, gold's gone past $3,350 at 1pm.

The stock markets are in the red, and the hope remains that the US President Trump will have some comments to make later in the day to smooth out the concerns.

So, what should UAE gold shoppers be doing? Just wait...

Manoj NairBusiness Editor

Manoj Nair, the Gulf News Business Editor, is an expert on property and gold in the UAE and wider region, and these days he is also keeping an eye on stocks as well. Manoj cares a lot for luxury brands and what make them tick, as well as keep close watch on whatever changes the retail industry goes through, whether on the grand scale or incremental. He’s been with Gulf News for 30 years, having started as a Business Reporter. When not into financial journalism, Manoj prefers to see as much of 1950s-1980s Bollywood movies. He reckons the combo is as exciting as it gets, though many will vehemently disagree.