Gold Prices Reach New Heights
The gold prices in Dubai have crossed DH450 per gram, with the precious metal setting new record highs almost every day. According to the Dubai Jewely Group data, 24K gold reached DH451.75 per gram, later slipping to DH451.0 per gram on Tuesday morning.
Record Highs for Different Gold Variants
Similarly, 22K, 21K, and 18K gold touched record highs of DH418.5, DH401, and DH344 per gram, respectively. Notably, the 21K variant of gold was traded for the first time in Dubai at over DH400 per gram.
Global Gold Market Trends
Spot Gold was traded at $3,749.32 per ounce, representing a 0.24 percent increase. Ahmad Assiri, a research strategist, noted that gold remains a strong performer, trading over $3,750 after reaching new record highs in early business.
Factors Contributing to Gold’s Success
Linh Tran, a market analyst, attributed gold’s success to several supporting factors, including macroeconomic conditions, monetary policy, geopolitical tensions, and central banks’ reserve strategies. The yellow metal has benefited from these factors, setting a new all-time high of around $3,760 per ounce.
Economic Front and Central Bank Demand
The Federal Reserve’s decision to indicate a 25-basis-point increase in interest rates at its September 2025 meeting may signal the end of the long-term cycle. However, Chairman Jerome Powell emphasized caution, stating that future policies would depend on data, particularly inflation and labor market conditions. Central banks’ demand for gold has also been a critical factor, with 410 tons of gold purchased in the first half of 2025, extending a record streak since 2022.
Geopolitical Tensions and Gold’s Attractiveness
The geopolitical background has added another level of support to gold’s attractiveness. Escalating tensions in the Middle East, particularly the conflict in Gaza, as well as renewed US diplomatic efforts and intense discussions between Russia and NATO, have contributed to a fragile global investment climate, making gold an increasingly appealing safe-haven asset.
