Data shows the precious metal rose by Dh4.5 per gram on Wednesday morning, but prices are still down by more than Dh9 per gram so far this week in Dubai.
Gold prices in Dubai recovered when markets opened on Wednesday, although the precious metal remains down by more than Dh9 per gram so far this week.
Data showed gold rose by Dh4.5 per gram in early trading, following the United States announcement of an indefinite extension of the ceasefire with Iran.
The 24K gold price was trading at Dh573.00 per gram on Wednesday morning, up from Dh568.50 per gram at the close of markets on Tuesday. However, it remains down by Dh9.25 per gram so far this week in.
Among the other variants, 22K gold was trading at Dh530.50 per gram, 21K at Dh508.75, 18K at Dh436.00, and 14K at Dh340.00 per gram.
Globally, gold was trading at $4,762 per ounce, up 1.3 per cent, as the US extended the ceasefire with Iran. Silver also gained 2.6 per cent to reach $78.37 per ounce.
Donald Trump said he was extending the ceasefire with Iran to allow more time for negotiations, while maintaining Washington’s naval blockade of the country’s ports.
Linh Tran, market analyst at XS.com, said gold has recorded a three-week winning streak, marking a notable recovery phase after earlier volatility.
She noted that the rally has not been driven by a single factor, but by a synchronised shift across major macroeconomic variables — particularly the US dollar, Treasury yields, and monetary policy expectations.
“Geopolitical risks have also remained elevated, offering an additional layer of support for gold, particularly as markets remain sensitive to developments affecting energy prices and global supply chains. That said, this factor has played more of a supportive role, while the primary drivers remain the decline in the dollar and bond yields,” she added.
