Investors were assessing reports of a US-Iran ceasefire agreement amid growing concerns around inflation and interest rate hikes by the Federal Reserve
The 24K gold was trading at Dh544.0 per gram today at the market open, up from Dh541.25 per gram at Thursday’s close. It had fallen to Dh537.0 per gram on May 27.
Among other variants of the precious metal, 22K, 21K, 18K, and 14K opened higher at Dh503.75, Dh483.0, Dh414.0, and Dh323.0 per gram, respectively. The 22K gold price had fallen below Dh500 per gram on May 27.
Spot gold was trading at $4,511 per ounce, up 0.22 per cent, as investors assessed reports of a US-Iran ceasefire deal amid growing concerns around inflation and US interest rate hikes.
The US and Iran reached an agreement on Thursday to extend their ceasefire and lift restrictions on shipping through the Strait of Hormuz, sources told Reuters, though US President Donald Trump has yet to approve it and Iranian state media said it has not been finalised.
Inflation in the US increased at its fastest pace in three years in April, driven by higher energy prices due to the Iran conflict, reinforcing economists’ views that the Federal Reserve would hold interest rates unchanged well into next year.
Silver was steady at $75.72 per ounce.
Vijay Valecha, chief investment officer, Century Financial, said the overall technical outlook for gold remains positive.
Source: khaleejtimes