Gold prices in the UAE are holding steady above the Dh600 mark, as heightened geopolitical tensions drive investors toward safe-haven assets. On Friday morning, 24K gold opened at Dh602.50 per gram, with 22K selling at Dh558.00, 21K at Dh535.00, and 18K at Dh458.50. The 14K rate stood at Dh357.75 per gram, according to Dubai Jewellery Group.
Globally, bullion was trading at $5,007.75 an ounce—up nearly 0.6 percent—as renewed worries in the Middle East and Eastern Europe sent buyers flocking to gold. The latest boost in prices followed sharp warnings from Donald Trump, who gave Iran a 10- to 15-day window to strike a deal over its nuclear program or risk “really bad things.” News of a US military buildup in the region has only added to market jitters, further fueling gold’s appeal as a safe investment.
“Despite ongoing diplomatic efforts, tensions in both the Middle East and Eastern Europe have intensified, casting doubt on the viability of current peace talks. This continues to underpin bullion’s appeal,” said Abdelaziz Albogdady, market research and fintech strategy manager at FXEM. He also noted that central banks are continuing to buy gold and that renewed flows into gold ETFs are supporting prices, even at higher levels. With China celebrating Lunar New Year, thinner trading volumes could mean sharper price swings in the short term.
Looking ahead, analysts warn that the US Federal Reserve’s next moves could influence gold’s trajectory. The latest Fed meeting minutes revealed a split among policymakers—some leaning towards tighter policy, others open to easing if the US economy stumbles. All eyes are now on upcoming US inflation data, especially the Personal Consumption Expenditures (PCE) release. If inflation continues to cool, expectations for rate cuts could strengthen and support gold further. If not, fresh volatility could hit.
For now, with so much uncertainty in global markets and tensions running high, gold remains in demand—and shoppers in Dubai are watching daily price movements closely as bullion trades firmly above Dh600.
