The 24K variant of the yellow opened at Dh278.25 per gram at the opening of the markets on Thursday as compared to Dh276.25 per gram at the close of the markets on Wednesday. Among the other variants, 22K, 21K and 18K were trading higher at Dh257.5, Dh249.25 and Dh213.75 per gram, respectively.
Globally, spot gold was trading higher at $2,299.81 per ounce at 9.10 am UAE time after the US Federal Reserve chairman Jerome Powell said that recent job gains and higher-than-expected inflation readings do not significantly alter the overall picture of the central bank’s monetary strategy about interest rates.
Gold briefly touched the $2,300 level at around 5am UAE time on Thursday. While the US gold future traded higher at $2,320.5 per ounce.
Vijay Valecha, chief investment officer at Century Financial, said Powell’s speech was the focal point for investors, with market participants also keeping an eye on PMI and Non-Farm Employment data.
“From a technical perspective, Gold is currently experiencing downward pressure, nearing a critical support level at $2,260.00. Maintaining above this level is crucial to sustain bullish momentum, as breaching it could lead to further declines towards $2,205.70. The negative stance of the Stochastic indicator contributes to the prevailing downward pressure. However, a shift towards positive momentum could support a resumption of the bullish trend, targeting levels at $2,300.00 and $2,320.00 next,” he said.