Gold prices edge up in Dubai, 24K at Dh488.50

Gold buyers in the UAE faced slightly higher prices on Wednesday morning after bullion extended its recovery on easing expectations of an imminent US interest rate increase. The 24-karat variety rose to Dh488.50 per gram at 8.40 am, compared with Dh487.50 on Tuesday. The 22-karat variety increased to Dh452.25 from Dh451.50 during the same period. Wednesday’s increase marked a second consecutive daily gain, with 24K gold now Dh5 above the monthly low of Dh483.50 recorded on July 13. The 22K rate has gained Dh4.50 from its July 13 low of Dh447.75. Despite the recovery, current prices remain considerably below the highest levels recorded earlier this month, giving buyers some relief compared with the first week of July. The 24K rate began the month at Dh489.75 before climbing rapidly to Dh501.75 on July 3 and reaching a monthly high of Dh503 on July 4 and July 5. Prices then fell below Dh500 and moved unevenly through the following week before dropping to Dh483.50 on July 13. Wednesday’s rate remains Dh14.50 below the monthly peak and Dh1.25 below the price recorded at the beginning of July.