Gold prices in Dubai remained largely stable on Friday morning as market participants weighed the impact of rising US-Iran tensions against the backdrop of potential interest rate hikes. The 24K gold rate saw a marginal increase, opening at Dh495.75 per gram compared to the previous day’s closing price of Dh495.25. Meanwhile, other variants like 22K, 21K, 18K, and 14K settled at Dh459.0, Dh440.25, Dh377.25, and Dh294.25 per gram, respectively. On the global stage, spot gold dipped by 0.34 percent to $4,117.95 per ounce, reflecting a broader sense of caution across financial markets.

Market analysts suggest that the precious metal is currently trapped in a tug-of-war between safe-haven demand sparked by geopolitical instability and the persistent pressure of high US Treasury yields. While conflicts in the Strait of Hormuz have pushed crude oil prices higher—potentially complicating global inflation control—the Federal Reserve’s ambiguous policy path continues to dampen investor enthusiasm. Consequently, experts believe that gold will likely remain in a holding pattern, lacking the necessary momentum to break through higher resistance levels until there is more clarity regarding the trajectory of American interest rates.