Latest news with #Dh320.25
Khaleej Times
05-02-2025
- Business
- Khaleej Times
UAE sees drop in gold jewellery demand due to high prices, India's import duty cuts
Gold jewellery demand fell 14 per cent in the UAE in the fourth quarter of 2024 due to high prices and India's decision to cut import duty on gold from 15 per cent to 6 per cent. The World Gold Council data showed jewellery demand falling to 8.8 tonnes in the fourth quarter of last year, down from 10.3 tonnes in the same quarter of the previous year. Demand for bars and coins bucked the trend as demand grew from 3.1 to 3.4 tonnes during the comparative period as investors cashed in on the rising prices of the yellow metal. Precious metal prices have been increasing consistently over the past few quarters due to strong demand from central banks, a drop in interest rates, and concerns about US President Donald Trump's policies around tariffs. Gold reached a record high of $2,854 per ounce on Wednesday. In Dubai, prices also reached an all-time high with 24K and 22K trading at Dh344 and Dh320.25 per gram, respectively, at the opening of the markets on Wednesday. Overall, demand for gold from consumers fell eight per cent from 13.3 tonnes in Q4 2024 to 12.2 tonnes in Q4 2025. Per-capita consumer demand in the UAE fell to 4.36g in 2024 compared to 4.8g in 2023 and 5.38 in 2023. Anuraag Sinha, managing director of Liali Jewellery, said gold jewellery sales have seen a decline due to record-high prices. 'For example, global gold jewellery consumption dropped by 11 per cent in 2024, with markets like India and China experiencing a decrease of six per cent and 27 per cent, respectively. However, we are more focused on diamonds; this trend likely hasn't had a significant impact on your business,' said Sinha. '$3,000 looks like an easy target' Ipek Ozkardeskaya, senior analyst at Swissquote Bank, said investors may look more relaxed now than they did at the start of the week, but havens continue to see increased demand on the back of growing global uncertainties under Trump's lead. 'There is not a better hedge than gold for protecting a portfolio from Trump worries: the more chaotic international relations become, the greater the demand — especially from central banks looking to reduce US exposure should Trump turn his focus on them. As a result, gold hit a record high for the fourth straight session, reaching $2,860 per ounce in Asia for the first time. At this pace, Trump makes $3,000 look like an easy target,' said Ozkardeskaya. World Gold Council said global gold jewellery consumption fell 11 per cent, hit by record high prices, while full-year bar and coin demand held firm at 2023 levels.
Khaleej Times
05-02-2025
- Business
- Khaleej Times
Dubai gold prices jump to a new all-time high
The gold rally continued as prices jumped nearly Dh3 per gram to a new all-time high at the opening of the markets in Dubai on Wednesday. At 9am UAE time, 24K rose Dh1.50 to Dh344 per gram while 22K opened higher at Dh320.25 per gram, up Dh2.75 per gram. Among the other variants, 21K and 18K were trading higher at Dh307 and Dh263 per gram, respectively. Globally, gold was trading at a record $2,854.86 per ounce, up 0.43 per cent, due to fears of a new trade war between the US and China after Beijing slapped tariffs on US imports in response to new US duties on Chinese goods. Rania Gule, senior market analyst at said concerns about the potential economic fallout from the tariffs imposed by US President Donald Trump provide strong support for gold as a safe-haven asset. 'In this context, the key question remains: Can gold break its record highs again, or will economic pressures force it to retreat? In my view, Trump's recent decision to suspend tariffs on Mexico and Canada after reaching an agreement on border security has boosted investor confidence in traditional financial markets, leading to a slight increase in risk appetite," she said. "This shift towards riskier assets pressures gold, reducing its appeal as a haven. At the same time, I believe the Federal Reserve's more hawkish stance has helped drive US bond yields higher, supporting the dollar and adding further negative pressure on gold prices."
