Second-day decline brings 24K to Dh533.75 per gram; analysts point to dollar strength and profit-taking but see long-term support.
DUBAI: Gold prices in Dubai extended losses for a second consecutive session on Thursday, presenting a potential opportunity for buyers ahead of the weekend.
The decline was driven by a stronger US dollar and profit-taking in global markets, pulling the precious metal lower.
Opening Rates in Dubai:
- 24K gold fell by Dh2.5 to Dh533.75 per gram.
- 22K gold decreased by Dh2.25 to Dh494.25 per gram.
- 21K, 18K, and 14K opened at Dh474.0, Dh406.25, and Dh317.0 per gram, respectively.
Internationally, spot gold was down 0.57% to $4,427.34 per ounce at 9:15 AM UAE time.
Analysts See a Strategic Pause in Strong Trend
Market experts view the dip as a minor correction within a larger positive trend.
“The strengthening US dollar caused gold to retreat. Nevertheless, the precious metal remains in a strong position, partly due to the likely increase in central bank activity,” noted Alex Kuptsikevich, Chief Market Analyst at FxPro.
Echoing this, Linh Tran, Market Analyst at xs.com, observed that prices retreated after nearing the $4,500 level. “The broader uptrend remains intact, supported by macroeconomic and geopolitical fundamentals. This recent advance is reinforced by a relatively stable global economic backdrop,” Tran stated.
With the recent price easing, market watchers suggest the current levels could serve as an attractive entry point for shoppers looking to purchase gold coins or jewellery, before any potential rebound.
