Gold prices in Dubai saw a significant drop on Monday. The price of 24-carat gold fell by more than 26 dirhams per gram at the start of the market, decreasing by over 100 dirhams compared to the highest price of last week.

According to data from the Dubai Jewelers Group, the price of 24-carat gold decreased from 589.5 dirhams per gram last week to 563.25 dirhams on Monday, equivalent to a drop of 26.25 dirhams. This type of gold has fallen by 102.75 dirhams since its peak price on Thursday, which reached 666 dirhams.

Prices of other types of gold also decreased. The price of 22-carat gold reached 521.5 dirhams, 21-carat gold at 500 dirhams, 18-carat gold at 428.75 dirhams, and 14-carat gold at 334.25 dirhams per gram. Last month, the prices of 24 and 22-carat gold had crossed the 600 dirham mark in Dubai for the first time.

In the global market, the price of each ounce of gold reached 4651.34 dollars, showing a nearly 5 percent decrease. The strengthening of the US dollar has been the main factor behind this drop in gold prices in Dubai and other markets. Residents and investors in the UAE took advantage of the high prices to sell their gold and silver assets.

Experts say the recent wave of gold and silver sales is the result of a complex interaction of psychological and behavioral factors among investors. After reaching new record highs, markets are rarely driven by a single factor, and investors' decisions are more influenced by the fear of losing accumulated profits and changes in macroeconomic expectations.

Source: Gulf Times