Gold prices in Dubai started the week on a slight decline, according to data from the Dubai Jewellery Group. On Monday morning, the 24K variant of the precious metal was trading at Dh281.25 per gram, down from last week’s closing price of Dh281.75 per gram. Similarly, other variants such as 22K, 21K, and 18K were also trading lower, with prices at Dh260.5, Dh252.25, and Dh216.25 per gram respectively, as of 9am UAE time.
Globally, gold faced a marginal decrease, trading at $2,319.8 per ounce, reflecting a 0.22% decline. The market sentiment was influenced by subdued US inflation data, which has bolstered expectations that the US Federal Reserve may initiate rate cuts later this year.
Recent US economic indicators, including the core PCE (Personal Consumption Expenditures) data for May, indicated a slowdown as personal spending fell short of expectations. Combined with softer GDP figures released earlier, these data points support the stance of Federal Reserve policymakers favoring economic stimulus measures.
Yeap Jun Rong, market strategist at IG, remarked, “The latest US inflation data, meeting consensus expectations, have reinforced market expectations for the Fed’s easing process to potentially begin in September.”
Investors and market observers are closely monitoring these developments as they anticipate further movements in gold prices amid evolving global economic conditions and central bank policies.
