In a matter of hours, gold prices in Dubai went through a dramatic swing, frustrating both shoppers and jewellery retailers.
Late Thursday night, the price of 22K gold fell below Dh350 per gram, giving hope to buyers that rates might drop further to Dh340. But by Friday morning, the rate surged again, touching Dh359, and even reaching Dh362 per gram in some places.
Price Swings Worry Shoppers
According to market analysts, such sharp fluctuations of Dh10 to Dh12 per gram within 24 hours are uncommon. A bullion trader advised buyers to avoid purchasing gold during such volatility unless it’s absolutely necessary.
“It just doesn’t make sense for shoppers to buy gold today or even this week,” the trader said. “It’s best to wait and see how the prices behave.”
Global Gold Prices Also Rebounded
Globally, gold prices briefly dropped to $3,120 an ounce, sparking hopes of further declines. However, within hours, prices bounced back sharply to $3,224 an ounce — a $100 increase in a single session.
An analyst noted that such fast movements are unusual:
“Earlier, such shifts used to take at least a day. Now it’s happening in half a day.”
What Should Shoppers Do?
The recent drop had raised hopes that gold prices might finally settle around Dh340 per gram, but the quick rebound has made the market uncertain once again.
With prices jumping up and down so rapidly, experts suggest waiting until there is more stability in the market before making new purchases.
