UAE: Gold prices continue to rise, up Dh1 per gram in Dubai

UAE: Gold prices continue to rise, up Dh1 per gram in Dubai

The precious metal's recent rally has reached an eight-month high and it could extend further if disinflation trends remain firmly in place, says expert

Published: Thu 12 Jan 2023, 9:49 AM Last updated: Thu 12 Jan 2023, 9:55 AM

Gold prices jumped in the UAE and Asia on Thursday morning, as traders awaited key US inflation data that could influence the Federal Reserve's policy path.

Spot gold was trading at $1,884.21 per ounce, as of 9.15am UAE time.

The precious metal prices jumped Dh1 per gram at the opening of the markets in the UAE. According to Dubai Jewellery Group data, 24K gold was trading at Dh228.25 per gram, up Dh1 from its closing rate last night. Among the other variants of the yellow metal, 22K opened at Dh211.25; 21K at Dh204.50; and 18K at Dh175.25 per gram.

Edward Moya, a senior market analyst at Oanda, said gold prices are not doing much ahead of the December inflation report.

“Fed rate hike expectations are leaning towards a 25bp rate increase at the February 1 meeting and the March 22 gathering appears to be a tossup between another small hike or a hold. Gold’s recent rally has made an eight-month high and it could extend further if