Gold prices opened above Dh400 per gram in Dubai on Thursday, rebounding after a significant drop of over Dh20 in recent days.
According to data from the Dubai Jewellery Group, the price for 24K gold stood at Dh400.5 per gram on Thursday morning. Meanwhile, 22K, 21K, and 18K gold were priced at Dh371, Dh355.75, and Dh305 per gram, respectively.
On the global market, gold was priced at $3,327 per ounce, reflecting a 1.27% increase. After reaching record levels on Tuesday, when prices hit Dh420 per gram in Dubai and $3,500 per ounce internationally, gold experienced a correction both in the UAE and worldwide.
Gold saw a rise of nearly Dh20 per gram at the beginning of the week but subsequently lost these gains following statements from US President Donald Trump, who indicated he would not press Federal Reserve Chair Jerome Powell to resign.
JP Morgan, the US-based multinational financial services company, has forecasted that gold prices could exceed $4,000 per ounce next year due to global uncertainties, geopolitical tensions, and the ongoing tariff disputes between the US and China. The bank predicts that gold will average $3,675 per ounce by the end of this year, potentially reaching $4,000 in the second quarter of the next.
As previously reported, analysts and jewelers in Dubai anticipate that gold prices will remain elevated due to tariffs, geopolitical tensions, and substantial purchases by central banks. However, the demand for gold jewelry has declined as consumers are turned off by high prices, leading some residents to sell their gold to capitalize on the current market.