Dubai gold prices stay below Dh500 per gram ahead of Diwali

Dubai gold prices rose on Thursday morning but stayed below Dh500 per gram, Khaleej Times reported. The 24K rate stood at Dh499.75 at the market open, after prices fell more than 1 percent late on Wednesday. UAE shoppers are preparing for Dhanteras and Diwali.

How much is 1 gram of 24K gold in Dubai today?

On Thursday morning, 24K gold cost Dh499.75 per gram in Dubai, according to Dubai Jewellery Group data. The price was just under the Dh500 mark. It had closed Wednesday at Dh492.75, so the market opened higher after the previous day’s drop.

Other variants also traded below Dh500. The 22K, 21K and 18K grades were at Dh462.75, Dh443.50 and Dh380.25 per gram, respectively.

Why does lower gold price matter ahead of Diwali?

The dip is welcome news across the UAE. The Indian community, the country’s largest expatriate group, is preparing for the festive season.

Buying gold is considered auspicious during Dhanteras and Diwali. Families traditionally purchase coins, bars and jewellery for good fortune. Lower prices help stretch household budgets. Shoppers can buy more gold or upgrade to heavier pieces.

What is the global gold price today?

Globally, spot gold was up 1.4 percent at $4,144 an ounce on Thursday morning. Silver gained 0.4 percent to $205.70 an ounce.

Gold had fallen on Wednesday after a stronger-than-expected inflation reading. The data raised expectations of a US Federal Reserve rate hike this month.

What could move gold prices next?

Simon-Peter Massabni, head of business development at XS.com, said gold faces a challenging landscape. He pointed to monetary policy pressures, geopolitical risks and shifting inflation expectations.

Massabni said gold’s price action cannot be explained by its recent decline or its proximity to support levels alone. He said the dollar’s strength, interest rate expectations and safe-haven demand are competing to decide the metal’s next move.