Gold prices in Dubai have seen a slight retreat, shedding over Dh9 per gram over the past week as the market navigates the uncertainty surrounding fluctuating oil prices and potential interest rate hikes from the Federal Reserve. As of Thursday morning, the 24K variant was priced at Dh517 per gram, reflecting a modest recovery from earlier in the week. Meanwhile, other gold categories, including 22K, 21K, 18K, and 14K, were trading at Dh478.75, Dh459, Dh393.5, and Dh306.75, respectively. On the global stage, spot gold saw a slight uptick of 0.2 percent to reach $4,291.3 per ounce, while silver experienced a minor decline of 0.25 percent.

Financial analysts suggest that gold’s current movement is heavily influenced by energy costs and their impact on long-term inflation. Vijay Valecha, CIO of Century Financial, noted that while rising borrowing costs typically dampen the appeal of non-interest-bearing assets like gold, the metal continues to find support through robust central bank demand and consistent inflows into gold ETFs. From a technical standpoint, gold is currently holding firm around the 200-day Exponential Moving Average. Experts believe that while the metal remains range-bound for now, a clear trend shift will depend on whether prices can sustain their current support levels or if they fall toward the next critical threshold near $4,261.