Dubai: Gold Prices Drop In Early Trade

2024-07-09 05:00:26

(MENAFN- Khaleej Times) Gold prices fell at the opening of the markets in Dubai on Tuesday.

The Dubai Jewellery Group data showed 24K trading at Dh286.75 per gram in early trade on Tuesday compared to Dh287.50 at the close of the markets on Monday.

Other variants 22K, 21K and 18K were also trading lower at Dh265.5, Dh257 and Dh220.25 per gram, respectively. Globally, gold was trading at $2,365.1 per ounce, up 0.14 per cent.

[Editor's Note: For real-time gold rates, click on the widget below or visit KT's dedicated Trading News page here .]

George Khoury, global head of education and research at CFI, said that after a surge last week, gold prices retreated as traders moved to secure their gains.

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“However, gold has held near its one-month peak driven by weaker-than-expected US economic data. The Non-Farm Payrolls (NFP) Report revealed slowing wage growth in the US, while the world's largest economy also saw unemployment rise to 4.1 per cent, indicating a weakening labour market. At the same time, strong expectations of a potential rate cut by the Federal Reserve in September could continue to support gold prices,” he said.

This week, market attention is focused on Federal Reserve Chair Jerome Powell's semi-annual Congressional testimony, comments from various Fed officials, and upcoming US inflation data. New data could be crucial in shaping rate cut expectations as dovish data and comments could provide additional support for the asset.

“Additionally, ongoing political risks in Europe after the election results in France and uncertainty regarding the presidential election in the US could potentially bolster gold as a safe-haven asset in the medium term,” said Khoury.

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