Saudi gold prices remain steady, while India records a sharper decline amid pressure on global bullion markets.
Dubai: Gold prices in Dubai slipped on Thursday, following weaker global bullion trends as uncertainty surrounding the ongoing US-Israel conflict with Iran continued to weigh on investor sentiment. Despite the announcement of an extended ceasefire, markets remain cautious amid stalled negotiations and rising oil prices, keeping pressure on gold prices.
In Dubai, 24-carat gold fell to Dh566.75 per gram in morning trade, down from Dh569.25 the previous day, while 22-carat gold slipped to Dh524.75 from Dh527.00. Rising oil prices are fuelling concerns over inflation and the possibility of prolonged high interest rates, as investors also await clarity on the stalled US-Iran peace talks.
Saudi Arabia, India trends
In Saudi Arabia, gold prices remained unchanged, signalling a more stable local market. The 24-carat rate held steady at 588.00, while 22-carat gold stayed firm at 537.00, reflecting limited movement despite fluctuations in global bullion markets.
India, however, saw a sharper decline. The price of 24-carat gold dropped to ₹153,550 per 10 grams from ₹154,750, while 22-carat gold fell to ₹140,750 from ₹141,850.
The decline reflects broader weakness in global bullion markets, along with currency-adjusted pressures, as demand sentiment remains cautious amid ongoing geopolitical uncertainty.
Global market trends
Internationally, gold prices edged lower, with spot gold trading around $4,703–$4,712 per ounce, down nearly 0.3 per cent. The decline comes as a stronger US dollar and rising oil prices reduce bullion’s appeal, while investors remain cautious over persistent geopolitical tensions.
Although gold is traditionally viewed as a hedge against inflation, surging crude prices — now back above $100 per barrel — are raising expectations of prolonged high interest rates. This is reducing demand for non-yielding assets such as gold.
Markets are also reacting to the lack of progress in US-Iran negotiations. With both sides maintaining firm positions — including disputes over the Strait of Hormuz and ongoing sanctions — geopolitical risks remain elevated but without clear direction, limiting gold’s upside potential.
Other precious metals also declined, with silver, platinum, and palladium posting losses, reflecting broader weakness across the metals complex.
