Dubai gold prices went up again on Friday because investors are still worried about what’s happening with Iran and the uncertainty surrounding the ceasefire talks. They are also concerned about inflation and interest rates in the United States.
In the UAE the price of 24K gold started at Dh544 per gram which is higher than the Dh541.25 it was at the day. The price of 22K gold also went up to Dh503.75 from Dh501.25.
The reason gold prices are going up is that the global financial markets are still very unpredictable because of the uncertainty surrounding the US-Iran ceasefire and the broader concerns about the Middle East conflict.
The price of gold around the world was around $4,518 per ounce which’s up 0.36 per cent from the last time it was traded.. Analysts say that the gold market is still very fragile because it has been going up and down a lot in the last few weeks.
People usually think of gold as an investment when there is a lot of uncertainty and instability in the world. When people are worried about inflation, conflict or instability in the markets they often put their money into gold and other precious metals.
Analysts say that the recent changes in gold prices are because of a combination of things including the rising US bond yields, the ups and downs of the US dollar and the changing expectations about the energy markets.
The analysts also said that because people are not as worried about the oil supply being disrupted for a time some of the demand for gold as a safe investment has gone down.. The tensions in the region are still making the markets very cautious.
The price of gold in India also went up a lot. The price of 24K gold went up to ₹157,640 per 10 grams and the price of 22K gold went up to ₹144,500.
Because the price of oil is going down people are not as worried about inflation going up because of the Middle East crisis.. Investors are still waiting to see how the US Federal Reserve will respond to any future inflation and interest rate pressures.
People who watch the markets say that gold prices will probably still be affected by what’s happening in the world especially with the energy markets and the talks with Iran in the coming weeks. Gold prices will likely stay sensitive to these things. Dubai gold prices and gold prices, in general will be closely watched.
