Photo for illustrative purposes only.
PHOTO BY ARCHIVE
Gold prices dropped on Monday morning as investors assessed the risk of aggressive rate hikes expected this week by major central banks, particularly the US Federal Reserve, to manage inflation.
Spot gold was down 0.64 percent at $1,668 per ounce as of 9:10 am UAE time.
Gold prices in the UAE declined by one dirham per gram at the start of trading on Monday.
According to Dubai Gold and Jewellery Group data, 24K was trading down one dirham at Dh202.0 per gram. On the other hand, 22K, 21K, and 18K also opened lower at Dh189.75, Dh181.0, and Dh155.25 per gram, respectively.
Analysts predict that the Fed will raise interest rates by 75 bps at its next meeting on Wednesday.
Following stronger-than-expected inflation figures on Tuesday, the Federal Reserve will raise the Fed Funds target rate by 75bp to 3.25-3.50 percent at its meeting on Wednesday.
Last week, gold fell more than 3% in a week, reaching a 2-year low. Under the pressure of a stronger dollar and rising US Treasury bond yields, the yellow metal dropped to its lowest levels since Covid, driving the price below a critical support level of $1,700. BKM/ Expat Media
UAE improves VAT refund scheme for tourists
SB19 Dubai concert tickets now on sale
New culinary delights on the menu at Global Village for Season 27
UAE: Court orders employer to pay Dh70,000 for beating maid, breaking her ribs
Oil prices climbed after Opec+ agree to reduce output
UAE: Man ordered to pay ex-wife Dh10,000 to cover their baby’s medical bills
UAE: Court clears woman of Dh50,000 moral damages against a man she accused of witchcraft
Mahzooz: Pakistani mechanic in Abu Dhabi who earns Dh2,000 wins Dh10 million
Abu Dhabi announces free parking, toll on Prophet’s birthday
UAE: President Sheikh Mohamed pays tribute to teachers
Sharjah Safari documentary film scheduled to air on October 7-9