Global geopolitical tensions have triggered a sharp gold price surge across UAE markets, with retail rates climbing 2-3% as investors flock to the yellow metal as a safe-haven asset. Dubai’s Gold Souk and jewellers report brisk demand for bars, coins, and ornaments despite premium hikes.
Key Drivers of the Rally
Escalating Pakistan-Afghanistan airstrikes, India-Israel defense pacts, and broader Middle East uncertainties propel gold above $2,650/oz globally. UAE 24K sovereigns hit AED 370/gram, up AED 8 from yesterday, while 22K ornaments touch AED 345-355/gram varying by design weight.
UAE Market Snapshot
| Category | Price (AED/gram) | Change |
|---|---|---|
| 24K Sovereign | 370 | +8 |
| 22K Ornaments | 345-355 | +6-7 |
| 21K | 332-340 | +5-6 |
| 18K | 285 | +4 |
Jewellers note 20% sales volume rise, blending investment and festive buying ahead of Ramadan. Making charges hold at 3.5-5% for light pieces.
Regional Trading Updates
- Dubai Gold Souk: 24K at AED 362.50 (+2.25%), highest since January.
- Abu Dhabi: Similar uptick, lighter pieces preferred.
- Sharjah: AED 361.75/24K, brisk bar demand.
Investor preference shifts to coins/sovereigns over heavy jewellery amid volatility.
2026 Outlook and Tips
Analysts eye $2,700/oz if tensions persist; MCX gold tests ₹82,500 domestically. Buyers advised: compare making charges, verify HUI certification, opt lighter pieces for value. NRIs leverage VAT refunds at airports.
