Gold prices remained firm in global trade, holding above $5,180 per ounce as investors weighed tariff uncertainty, geopolitical risks, and expectations for US monetary policy.
Spot gold was trading in the $5,187 to $5,197 per ounce range in recent sessions, supported by demand for defensive assets. The metal has recovered a significant portion of its late January pullback, reflecting sustained macroeconomic uncertainty.
Vijay Valecha, Chief Investment Officer at Century Financial, said bullion’s recent strength is being driven by geopolitical developments and trade concerns.
“Gold is up 0.84% at $5,187, supported by haven demand amid tariff uncertainty and ongoing U.S.-Iran nuclear talks. This has weakened the dollar, helping the yellow metal recover over half the losses incurred late last month.”
He added that the Federal Reserve’s stance has also influenced sentiment.
“Boston Fed President Susan Collins indicated that interest rates are likely to remain on hold for a while, noting that the labour market has shown signs of improvement and inflation risks have yet to fully ease. Even so, precious metals have continued to push higher, suggesting that broader structural and macro drivers behind the rally remain firmly in place.”
Market positioning data indicates institutional participation remains steady. Global holdings in gold-backed exchange-traded funds are close to multi-year highs, suggesting that strategic allocations into bullion remain intact despite short-term volatility.
From a technical perspective, analysts are watching support around $5,100, while resistance is near $5,250, based on recent intraday highs.
UAE Gold Prices
In the UAE retail market, prices mirrored the global trend. According to prevailing rates:
- 24 Carat – AED 624.50 per gram
- 22 Carat – AED 578.25 per gram
- 21 Carat – AED 554.50 per gram
- 18 Carat – AED 475.25 per gram
Local bullion prices in Dubai typically move in line with international spot rates and currency fluctuations. With gold holding above key psychological levels globally, UAE retail rates remain elevated, reflecting continued investor and consumer interest in the precious metal.
As markets navigate tariff developments, geopolitical tensions, and upcoming economic data releases, gold’s trajectory will likely remain sensitive to shifts in the US dollar and broader risk sentiment.
