KT Photo: File

The prices of 22K gold have surpassed the Dh300 mark once again as global prices climbed to $2,680 per ounce. On Wednesday, during the opening of markets in Dubai, 24K gold started at Dh327.25 per gram, while 22K was trading at Dh303 per gram. This week, the 24K variant has increased by Dh8.75 per gram, and 22K has risen by Dh7.50 per gram. The 22K gold had previously crossed Dh300 per gram a few months back when global gold prices exceeded $2,700 per ounce.

Among other variants, 21K and 18K were trading at Dh293.50 and Dh251.50 per gram, respectively. [Editor's Note: For real-time gold rates, click on the widget below or visit KT's dedicated Trading News page.] Globally, gold was trading at $2,680.55 per ounce, down by 0.5 percent.

Terence Hove, a financial markets strategist consultant to Exness, noted that gold prices reacted to the anticipated changes in China's economic policy. "The Chinese Politburo's announcement of a more accommodative policy has boosted investor sentiment positively and could encourage risk-taking, which might somewhat weigh on gold. However, the resumption of China's central bank gold purchases could stabilize the market after a period of volatility," said Hove.

Market focus now shifts to upcoming US inflation reports, which are expected to influence the Federal Reserve's monetary policy decisions. This comes after last week's stronger-than-expected employment data, which has increased the likelihood of a Federal Reserve rate cut at the next meeting. Meanwhile, the European Central Bank is expected to implement a quarter-point rate reduction at its Thursday policy meeting, potentially supporting gold prices further.

"Gold's appeal could also strengthen due to geopolitical tensions in the Middle East and Europe. Combined with growing concerns over US trade tariffs and potential international trade conflicts, these factors could drive increased demand for the safe-haven asset," added Hove.

Source link:   https://www.khaleejtimes.com