Dubai 24-karat gold hits Dh496.75 a gram after Diwali

Dubai: Gold climbed on November 9, erasing Friday’s decline, as oil extended its slide and the AI tech stock rout deepened with Nvidia CEO now being probed. Spot gold rose 1.02 per cent to $4,110 an ounce at 11:00 am in Dubai. Silver gained 1.64 per cent to $52.52. Platinum and palladium also advanced. 

In the UAE, 24-karat gold sold at Dh496.75 a gram on Monday, just after Diwali. That compares with Dh490.50 at the previous rate, a gain of Dh6.25, or 1.3 per cent. A week earlier, 24-karat gold was priced at Dh470.25 on November 2, with 22-karat at Dh435.50 and 18-karat at Dh358. 

The 24-karat rate is therefore Dh26.50, or 5.6 per cent, higher. The 22-karat metal now sells at Dh460, up Dh24.50. The 18-karat stands at Dh378.00, up Dh20, and 14-karat is priced at Dh295.

Bullion traded above $4,100, resuming an uptrend over the $4,000 support level that the US midterm results triggered. The rally had paused late last week after strong US jobs data strengthened bets on a Federal Reserve rate hike.

Oil fell further on Monday, extending its biggest weekly drop since April 2020. Traders are weighing diplomatic efforts to end the US-Iran conflict against fresh attacks in the region. The Nvidia probe tempered gains in Asian stocks and lifted gold’s appeal as a safe haven. The dollar slipped 0.1 per cent, which supports commodities priced in the currency.

Treasury yields and oil have eased in recent sessions. Investors expect incoming Democrats to push for an end to the Iran war, while a divided government would limit spending and borrowing.

Fed officials still look set to raise rates in December because energy prices remain high. Higher rates hurt gold, which pays no interest. US employers added 165,000 jobs in October, beating every forecast, and unemployment edged lower. Consumer sentiment reached a three-month high in early November.