Gold prices in Dubai reached new record highs on Thursday, coinciding with the Indian festival of Diwali, as 22K gold surged above Dh312 per gram when the markets opened.
According to data from the Dubai Jewellery Group, 24K gold prices rose by one dirham to Dh337.25 per gram at 9am UAE time, compared to last night’s closing price of Dh336.25 per gram. Other gold variants were priced at Dh312.25 for 22K, Dh302.25 for 21K, and Dh259 for 18K per gram.
Spot gold was trading at $2,783.11 per ounce at 9:10am UAE time.
On Monday, gold prices were just under $2,790 per ounce, while December Comex futures broke above $2,800 for the first time.
Gold prices have been climbing as demand rises amid political and economic uncertainty, along with high levels of geopolitical tension.
The World Gold Council’s Q3 Gold Trends Report showed that global gold demand increased by more than 5% year-on-year to over 1,300 tons in the third quarter, with demand value surpassing $100 billion for the first time. This growth in demand for the second consecutive quarter was driven by rising investment demand, a recovery in jewellery consumption, and the return of physical gold ETFs, which began accumulating bullion after nine quarters of selling.
“In the Middle East, with the upcoming presidential elections in the US, we are seeing increased momentum around ceasefire discussions, particularly in Lebanon and Gaza. This isn’t new; it follows many previous attempts regarding Gaza, which the US administration claimed were close to agreement.
However, these negotiations often escalated the conflict, leading to regional tensions,” said Samer Hasn, senior market analyst at XS.com.
