Gold prices continued with little fluctuations on Thursday morning in what analysts are calling a“cooling phase” after an extraordinary rally.

Globally, spot prices rose slightly to $3989.5 per ounce at 10am UAE time, while silver stood at $48.31. In Dubai, the price of 24K stood at Dh480.75 on Thursday morning. Similarly, 22K, 21K and 18K stood to Dh445.25, Dh426.50, and Dh365.75 per gram, respectively.

Ole Hansen, Head of Commodity Strategy, Saxo Bank explained what to expect from the yellow metal.“Gold's extraordinary rally this year has entered a cooling phase,” he said.“The tone during this time has shifted from exuberance to reflection, with traders reassessing how much of the 2025 narrative - rate cuts, fiscal stress, geopolitical hedging, and central bank demand - has already been priced in.”

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However, he added that the pause“looks like a breather” but not a breakdown.“Seasonal softness, temporary Chinese policy noise, and a firmer dollar explain the short-term retreat, but none change the longer-term narrative,” he said.“Once this corrective phase runs its course, the same forces that fuelled this year's rally - debt, inflation, and diversification demand - are likely to reassert themselves, making the next meaningful leg higher a 2026 story.”

He also added that the correction was healthy.“From a technical perspective, it been relatively moderate considering two consecutive weekly losses followed a nine-week surge that lifted prices more than 27 percent,” he said.“In our opinion this correction, whatever painful to recent buyers, has been a healthy development suggesting the market is releasing pressure rather than reversing trend. Support has been building near $3,835 to $3,878, an area that aligns with the 50 per cent Fibonacci retracement of latest run up since August as well as the 50-day moving average. A deeper slide cannot be ruled out if equity market risk appetite stay buoyant and the dollar continues to firm.”

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