Gold prices in Dubai witnessed a sharp climb on Friday morning, surging nearly Dh9 per gram to break through the Dh500 threshold. The 24K variant opened the day at Dh503.5 per gram, marking a notable jump from the previous day's close of Dh494.75. This upward momentum was mirrored across other purities, with 22K gold rising to Dh466.25 per gram, while 21K, 18K, and 14K options saw similar gains. The rally was fueled by a broader uptick in the global precious metals market, as spot gold climbed 1.5 per cent to hit $4,173 an ounce, accompanied by a three per cent rise in silver prices.

Market analysts attribute this rally to a lackluster US non-farm payroll report, which indicated a significant slowdown in hiring. With only 57,000 jobs added against an anticipated 114,000, traders are increasingly optimistic that the Federal Reserve may pivot toward rate cuts rather than further hikes. This sentiment has softened the dollar and lowered Treasury yields, both of which serve as catalysts for gold demand. Additionally, industry experts note that gold’s ability to maintain its position above $4,000 an ounce is being further bolstered by positive developments in high-level diplomatic negotiations between the United States and Iran.