Dubai — Gold prices in Dubai have fallen by Dh14 over the past week, bringing cautious optimism among UAE shoppers and jewellery retailers. As of Monday, the price of 22K gold stood at Dh369 per gram, down from Dh383 just seven days earlier.
Traders say the price could drop further to Dh365 in the coming days, but many believe the real boost in customer activity will come when rates dip below Dh360.
“We’ve seen a drop, yes, but shoppers are still waiting. The sweet spot is somewhere around Dh350 to Dh355,” said a retailer in Dubai’s Gold Souq.
The price shift follows confirmation of a US-EU trade deal over the weekend. Markets initially held steady, but gold prices began to ease by late Monday as confidence improved. The last time prices were this low was on July 10.
Jewellery traders are hoping for further declines by September, when tourism and wedding shopping usually pick up. They believe the high prices seen since April, when global gold crossed $3,500 an ounce after US tariff announcements, may start to unwind if economic tensions calm.
Currently, international gold prices are at $3,318 an ounce, following a $20 drop. However, some analysts are cautious. Central banks continue to buy over 1,000 tons of gold each year, and ETF investment is rising again, signs that demand for gold as a safe-haven asset remains strong.
Whether gold prices in Dubai drop below Dh360 will depend on how global markets respond in the coming weeks. For now, traders and shoppers alike are watching closely.
