Dubai Gold Prices Hold Steady Amid Middle East Tensions
Dubai's gold prices held steady at the end of the week, maintaining gains above Dh500 levels. The precious metal continued to benefit from safe-haven buying, driven by concerns over France's public finances and escalating tensions in the Middle East.
The UAE saw a slight increase in prices, with 24-karat gold trading at Dh504.25 per gram compared to Dh502 the previous day. Similarly, 22-karat gold rose to Dh467 from Dh464, while 14-karat gold edged closer to Dh300 levels.
Global gold prices also reflected this trend, with bullion trading at $4,189.95, a 0.4% gain for the day. However, despite the short-term gains, gold is on track to end the week around 2% lower.
Linh Tran, Market Analyst at XS.com, remains cautious about the near-term outlook for gold. According to Tran, 'in the current environment, markets are responding more strongly to the chain of effects running from oil to inflation, the Fed, yields and the U.S. dollar.'