Gold prices in Dubai declined in early trade on August 19, as global bullion prices weakened ahead of the release of the US Federal Reserve meeting minutes.
According to Dubai Jewellery Group data, 24K gold opened at Dh524.25 per gram, decreased by Dh526 per gram at Tuesday’s close. This also resulted in 18K gold dropping below the Dh400 mark.
The decline was visible across major gold categories in the UAE. The 22K rate was priced at Dh485.50 per gram, while 21K gold traded at Dh465.50 per gram.
18K gold dropped to Dh399 per gram, slipping below the key psychological threshold of Dh400. Meanwhile, 14K gold, the lowest-priced variant among those tracked, was available at Dh311.25 per gram.
Gold had previously been trading above the $4,400 an ounce mark but pulled back. Spot gold was seen changing hands at about $4,340 an ounce on Wednesday, declining by 0.56%. The price drop occurred after the gold futures prices fell sharply in the previous session.
US gold futures settled at $4,366 an ounce on Tuesday, declining by 1.17%. This decline happened as US Treasury bond yields rose and investors repositioned themselves regarding monetary policy.
The decline offers some relief to consumers tracking jewellery prices in Dubai. However, the final retail price of jewellery can differ from the quoted gold rate because of making charges and other costs.
For investors, the immediate focus remains on the Federal Reserve's policy signals, US yields and the broader direction of global bullion prices.