Gold prices in the United Arab Emirates rose on Monday, based on FXStreet data. Gold was priced at AED 493.62 per gram, up from AED 490.74 on Friday, and it climbed to AED 5,757.57 per tola from AED 5,723.95. FXStreet also put the price at AED 4,936.29 for 10 grams and AED 15,353.27 per troy ounce, converting international pricing into local units via the USD\/AED rate and updating daily at publication time; the figures are indicative and local quotes may vary.<\/p>\n
More broadly, gold is treated as a store of value and is used in jewellery, while also serving as a safe-haven and a hedge against inflation and currency depreciation. Central banks are the largest holders and added 1,136 tonnes worth about $70 billion in 2022, according to the World Gold Council, with emerging-market authorities such as China, India and Turkey increasing reserves. Gold typically moves inversely to the US Dollar and US Treasuries, and it can respond to shifts in rates, recession fears and geopolitical instability; it is priced in dollars as XAU\/USD.<\/p>\n
We are observing a modest uptick in gold prices, as seen in the United Arab Emirates where it reached 493.62 AED per gram. This local price reflects a strengthening in the international XAU\/USD benchmark. This move coincides with a slight softening in the US Dollar Index, which has been struggling to hold gains above the 105 level.<\/p>\n
We believe this price action is being driven by growing expectations of a more dovish Federal Reserve policy later this year. Recent statements from Fed officials, combined with May’s core PCE inflation figure holding at a stubborn 2.9%, are leading markets to price in a higher probability of a rate cut by the fourth quarter. As a non-yielding asset, gold becomes more attractive as interest rate expectations decline.<\/p>\n
Persistent geopolitical tensions in several key regions continue to provide a solid floor for gold’s safe-haven demand. Furthermore, we’ve noted that central banks continued their strong purchasing trend, with the World Gold Council reporting a net addition of 290 tonnes to global reserves in the first quarter of 2026. This sustained institutional buying signals a long-term strategic allocation away from fiat currencies.<\/p>\n
This environment reminds us of the period following the 2008 financial crisis, where accommodative monetary policy provided a multi-year tailwind for precious metals. A similar dynamic, although less severe, appears to be forming now. We see the current price action as a potential entry point for a longer-term upward trend.<\/p>\n
For the coming weeks, we are favoring long positions through derivative markets to manage risk. We suggest considering buying at-the-money or slightly out-of-the-money call options on major gold ETFs or futures contracts, with expirations in late Q3 2026. This strategy offers upside participation while defining downside risk in what could be a volatile trading environment.<\/p>\n","protected":false},"excerpt":{"rendered":"
UAE gold prices rose Monday as softer dollar, dovish Fed bets, geopolitical risks, and central-bank buying supported gains.<\/p>\n","protected":false},"author":87,"featured_media":47859,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71],"tags":[],"class_list":["post-49952","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/posts\/49952","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/users\/87"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/comments?post=49952"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/posts\/49952\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/media\/47859"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/media?parent=49952"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/categories?post=49952"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-mena\/wp-json\/wp\/v2\/tags?post=49952"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}