Dubai gold prices jump again as war tensions keep global markets on edge
UAE, Indian gold rates rise as investors track ceasefire talks and inflation fears
Dubai: Gold prices in Dubai moved higher on Friday as global markets reacted to ongoing geopolitical tensions linked to the US-Israeli conflict with Iran, alongside uncertainty over inflation and interest rates in the United States.
In the UAE, 24K gold opened at Dh544 per gram, up from Dh541.25 at yesterday’s close.
Meanwhile, 22K gold climbed to Dh503.75 from Dh501.25. The gains come as investors continue to move cautiously amid uncertainty surrounding a possible extension of the US-Iran ceasefire and concerns over global economic stability.
Market turbulence
International gold rates stood at 4,518.27, up 16.37 points or 0.36 per cent. However, analysts say the broader trend for bullion remains fragile after recent sharp declines.
Daniela Hathorn, senior market analyst at Capital.com, said gold has come under renewed pressure in recent sessions as rising bond yields, a firmer US dollar and easing geopolitical fears continue to weigh on investor sentiment.
According to Hathorn, markets have increasingly rotated back toward risk assets as fears surrounding the Middle East conflict begin to ease.
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Rates in India
Indian gold prices also moved sharply higher today. The price of 24K gold climbed to ₹157,640 per 10 grams from ₹156,050 yesterday, while 22K gold increased to ₹144,500 from ₹143,050.
Hathorn noted that improving expectations around US-Iran negotiations and reduced fears of a major energy supply shock have weakened demand for safe-haven assets such as gold.
Falling oil prices have also helped reduce concerns about a prolonged inflation spike tied to the Iran conflict.
