Gold prices in India declined sharply, whereas Saudi prices remained stable amid changing market sentiment.
Dubai: Gold prices in Dubai edged higher on Friday morning, even as a fragile ceasefire between the US, Iran, and Israel eased some pressure on global markets, suggesting bullion still retains limited safe-haven appeal.
24K gold rose to Dh578.75 per gram, up Dh1 from Thursday’s Dh577.75, while 22K climbed to Dh536.00, also adding Dh1. The modest gains follow Thursday’s sharper rebound, when prices jumped by more than Dh4 amid renewed geopolitical concerns.
Compared to yesterday’s rally, fueled by renewed fears over the Strait of Hormuz and uncertainty around diplomatic progress, today’s price action points to a cautiously recalibrating market. As ceasefire signals emerge and talks potentially resume, traders appear to be easing risk premiums, though not fully withdrawing them.
Saudi Arabia, India
In Saudi Arabia, gold prices held steady at reduced levels following earlier volatility. Twenty-four karat gold remained unchanged at SR595.00 per gram, steady from the previous close but below Thursday morning’s SR598, while 22K held at SR543.00, also unchanged from the close but lower than SR550 earlier in the session.
India, however, presented a different picture, with gold prices declining more noticeably. Twenty-four karat gold slipped to ₹154,200 per 10 grams from ₹155,560, while 22K fell to ₹141,350 from ₹142,600.
The sharper pullback suggests that demand-side pressures and currency dynamics are exerting greater influence, even as global signals remain broadly supportive. Reports of disruptions to bullion imports may also be contributing to local price weakness.
International trends: Gold holds ground near highs
Globally, gold prices remained stable, hovering near record levels. Spot gold stood at $4,786.82, up 0.03 per cent, and poised for a fourth consecutive weekly gain.
Antonio Di Giacomo, Senior Market Analyst at XS.com, said gold’s resilience is being underpinned by a weaker US dollar and rising expectations of renewed US–Iran negotiations.
“The precious metal has remained near $4,800 per ounce, consolidating at elevated levels and reflecting a market environment that balances caution and opportunity,” he said.
He added that a softer dollar has made gold more attractive to international buyers, while easing oil prices—now below $100 per barrel—have helped ease inflation fears and reduced pressure on central banks to maintain aggressive rate hikes.
At the same time, markets remain focused on ceasefire developments and diplomatic signals, with any progress likely to stabilise inflation expectations and potentially cap gold’s upside in the near term.
Still, with geopolitical risks lingering and investors continuing to hedge uncertainty, gold appears to have found a solid footing, even if the urgency to buy has eased for now.
