Dubai: 24K gold price rises to $62.21 per gram

The highest price for precious yellow metal in 4 months over a weaker dollar and lower US Treasury yield

  
A man wearing a protective face mask as a preventive measure against coronavirus disease (COVID-19), walks at the Deira Gold Souq in Dubai, United Arab Emirates, March 18, 2020.

A man wearing a protective face mask as a preventive measure against coronavirus disease (COVID-19), walks at the Deira Gold Souq in Dubai, United Arab Emirates, March 18, 2020.

REUTERS/Satish Kumar

Gold prices edged up on Monday morning, hovering near their highest in more than four months, as a weaker dollar and pullback in US Treasury yields supported the safe-haven metal.

Spot gold was up 0.27 per cent or $5.07 at $1,885.62 per ounce by 9.15am UAE time.

Last week, gold prices hit their highest level since January 8 at $1,889.75.

In the UAE, 24K gold prices jumped Dh1, rising from Dh227.25 per gram from its previous close to Dh228.25 on Monday morning. Meanwhile, 22K, 21K, and 18K also rose to Dh214.25, Dh204.5, and Dh175.25 per gram, respectively.

Vijay Valecha, the chief investment officer at Century Financial, said 24K price would touch Dh230 in the coming days.

The US dollar stood near its lowest levels in three months against the resurgent euro and other European currencies, making gold cheaper for other currency holders.

Benchmark 10-year US Treasury yields were hovering near a week low. Lower bond yields reduce the opportunity cost of holding non-interest-bearing gold.

Asian shares got off to a cautious start on Monday as investors anxiously awaited a key read on US inflation this week for cues on monetary policy.

waheedabbas@khaleejtimes.com

Staff Reporter

 

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