Gold prices in the UAE rose by two dirhams per gram on Tuesday morning, driven by investor interest in the safe-haven commodity amid ongoing conflict in the Middle East.
If the Israel-Palestine conflict persists, analysts anticipate further increases in gold prices. As of 9 am on Tuesday, 24K gold was trading at AED225.5 per gram, while 22K, 21K, and 18K were trading at AED208.75, AED202.0, and AED173.25 per gram respectively.
Spot gold also saw a 0.1 percent increase to $1,862.80 per ounce. The tensions in the Middle East have caused investors to seek safety in assets like gold, but the presence of renewed US dollar buying activity may limit further increases.
Traders are keeping an eye on the release of the FOMC meeting minutes and US consumer inflation figures for potential market impacts.
