Dubai Gold Prices Rise Again, Market Still Cautious of Iran Conflict
Dubai – Gold prices in Dubai rose again on Friday. Investors are still weighing geopolitical tensions related to the US-Israeli conflict with Iran, while waiting for the direction of inflation and interest rates in the United States.
According to a report by Gulf News quoted on Saturday, May 30, 24-karat gold in the United Arab Emirates opened at 544 dirhams per gram, up from 541.25 dirhams at the close of the previous day.
22 karat gold also rose to 503.75 dirhams per gram, from the previous 501.25 dirhams.
This increase occurred when the market was not completely calm. Investors are still monitoring the possibility of an extension of the US-Iran ceasefire and its impact on global economic stability.
In the international market, the gold price was at 4,518.27, up 16.37 points or 0.36 percent. However, analysts assessed that the direction of gold was still fragile after it had fallen sharply.
Daniela Hathorn, senior market analyst at Capital.com, said gold was again under pressure as bond yields rose, the US dollar strengthened, and geopolitical concerns began to ease.
Bond yields are the rate of return on debt securities. If yields rise, some investors may switch from gold to other assets that provide clearer returns.
According to Hathorn, the market is starting to look at risky assets again because the anxiety about the Middle East conflict is not as big as before.
Gold prices in India also rose sharply. 24 karat gold rose to 157,640 rupees per 10 grams, from 156,050 rupees the day before. 22 karat gold rose to 144,500 rupees, from 143,050 rupees.
Hathorn assessed that the improved expectations for US-Iranian negotiations and the reduced concerns over major energy supply disruptions have weakened demand for gold as a safe asset.
Safe assets are instruments that investors usually hunt when the market is volatile. Gold often falls into this category because it is considered relatively resistant when uncertainty increases.
Gulf News reported that the decline in oil prices also helped ease concerns about a prolonged spike in inflation due to the Iran conflict.
Thus, the rise in gold prices in Dubai and India is still overshadowed by pressure from the US dollar, bond yields, and changes in market sentiment towards the Middle East conflict.
The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language.
(system supported by DigitalSiber.id)
