Dubai — Gold prices in Dubai continued to hover at historic highs on Wednesday, with 22-karat gold opening at Dh412.25 per gram and 24-karat at Dh445.25. Prices are expected to remain above the Dh400 mark for the foreseeable future.
Globally, bullion surged to a new record of $3,700 per ounce late Tuesday, surpassing Monday’s peak of $3,685. The rally was fueled by expectations that the US Federal Reserve will cut interest rates, with markets pricing in a quarter-point reduction and anticipating further easing this year.
A weaker US dollar, now at its lowest level in more than seven weeks, also supported demand, making gold cheaper for international buyers.
Gold has gained nearly 40% since the start of the year, driven by strong central bank purchases, heavy inflows into exchange-traded funds, and heightened geopolitical uncertainty. Persistent trade tensions, including US tariff measures under President Donald Trump, have further reinforced its safe-haven appeal.
Analysts warn that continued monetary easing and political risks could push prices even higher. Goldman Sachs recently projected that gold could approach $5,000 an ounce if Fed independence comes under further strain.
For regional buyers, the Indian gold rate stood at about ₹11,193 per gram for 24-carat and ₹10,260 per gram for 22-carat on Wednesday, underscoring the global scale of the surge.
