Gold prices slipped in the UAE on Tuesday morning after reaching a record peak.
In Dubai, the 24K variant of the yellow metal fell half a dirham to Dh263.75 per gram as compared to last night’s close of Dh264.25 per gram.
Other variants, 22K, 21K and 18K, opened lower at Dh244.25, Dh236.50 and Dh202.75 per gram, respectively.
Spot gold was down at $2,179.14 per gram, falling by 0.21 per cent at 9.05am UAE time.
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Wael Makarem, financial markets strategist lead at Exness, said gold prices paused from their strong surge after hitting a peak close to $2,200 on Friday.
“Gold benefited from continued central bank purchases and US Federal Reserve chairman Jerome Powell’s comments last week as markets continue to expect interest rate cuts later this year. Traders’ attention could turn to the US inflation data release. The forthcoming CPI report will play a crucial role in shaping expectations regarding the Federal Reserve’s path toward interest rate cuts. A softer reading could strengthen the case for an earlier rate cut, providing support for gold prices to rise further,” he said.
“At the same time, geopolitical risks and apprehensions surrounding global economic growth could continue to contribute to the upward trajectory of gold prices,” said Makarem.