Dubai gold prices remain steady as treasury yields grab attention

Dubai: Gold prices managed to stabilize across the globe as lower oil prices took some of the heat out of inflation fears, while high treasury yields kept traders cautious. In the UAE, prices didn’t move much with 24-karat gold nearing the Dh500 mark priced at Dh501.25 on Wednesday. 22-karat gold is trading at Dh464.25 and 18-karat at Dh381.50.

For buyers eyeing lightweight daily-wear jewelry, 14-karat gold slipped below Dh300 to Dh297.50..Get updated faster and for FREE: Download the Gulf News app now - simply click here..Bullion prices have been hovering around $4,180 an ounce, having climbed 1.6 per cent in the previous session. Crude held onto its losses as signs emerged that Middle East supply has recovered to close to pre-war levels. This was aided by Saudi Arabia ramping up shipments through a key pipeline. The gains have offset the deadlock over the Strait of Hormuz that had driven fuel prices up earlier in the week. Still, Brent has surged roughly 70 per cent this year as the conflict heads into its eighth month. External factors continue to pressure goldBut it's not just oil prices that’s pressurizing gold. The yield on the longest-dated US Treasury bond climbed for a sixth straight session on Tuesday, reaching its highest level since 2002. Traders are worried that stubbornly high energy costs could force more rate hikes this year. Rising yields tend to hurt bullion because it offers no interest. Fed officials have warned that tighter monetary policy is still needed even after they hiked interest rates mid-month for the first time since 2023.

.Attention now turns to US personal consumption expenditures data later Wednesday, the Fed's favored inflation measure, and Friday's non-farm payrolls report, both seen as key signals for the rate outlook. Gold is heading for a monthly loss of close to 5 per cent and is down 10.76 per cent over the past six months. Currently, spot gold has edged up 0.54 per cent to $4,170.40 an ounce at 9:30 a.m. in Dubai. Silver was 0.1per cent higher at $61.54 an ounce. Platinum and palladium advanced slightly. The Bloomberg Dollar Spot Index, a gauge of the US currency, was steady after rising 0.2 per cent the previous session..Dubai gold prices rise slightly as oil prices cool.

Dubai gold prices drop sharply post-weekend, with rates starting at Dh300.

Dubai gold prices: Slight drop as fed comments and US-Iran talk take centerstage