Gold Prices Dip in UAE as Silver Continues its Upward Momentum
Gold prices in the UAE saw a slight retreat on Wednesday, slipping by Dh1 following a three-week peak. The 24K gold variant was quoted at Dh566.25 per gram, down from the previous day's closing price of Dh567.25. Similar downward adjustments were reflected across other categories, with 22K, 21K, 18K, and 14K gold trading at Dh524.25, Dh502.75, Dh430.75, and Dh336.00, respectively. Globally, the precious metal hovered near $4,673.06 per ounce, struggling to maintain its recent gains.
In contrast, silver is enjoying a significant rally, climbing over 2 per cent to reach Dh318.23 per ounce. According to industry analysts, this surge—which includes a 20 per cent gain year-to-date—is fueled by its dual role as both an industrial component and a precious metal, attracting attention from momentum traders and hedge funds. Meanwhile, gold remains under pressure due to a strengthening US dollar and fresh inflation data from the US Bureau of Labor Statistics, which reported a rise to 3.8 per cent in April. Experts suggest that the combination of rising fuel costs and shifting interest rate expectations has left gold facing technical resistance, prompting a more cautious outlook for the metal in the immediate future.