Wed 29 Mar 2023, Spot gold was trading 0.33 per cent lower at $1,965.42 per ounce, as of 9.40 am UAE time. In the UAE, the 24K gold was trading at Dh238.0 per gram at the opening of the market on Wednesday. Meanwhile, 22K, 21K and 18K opened at D220.5, Dh213.25 and Dh182.75 per gram, respectively. “We’ve seen a natural retracement … gold is pulling back after a failed ‘bid’ to break above $1,975
https://www.khaleejtimes.com/uae/uae-gold-prices-drop-as-concerns-about-global-banking-crisis-ease
The global banking crisis has been a cause of concern for many investors, and its effects have been felt in various industries, including the gold market. The price of gold is known to be influenced by economic and political events, and the global banking crisis has been no exception. In recent years, the price of gold has fluctuated significantly, as investors sought a safe haven for their investments.
However, in recent days, there has been a drop in gold prices in the UAE, which is believed to be a result of the easing of concerns about the global banking crisis. As the global economy begins to recover from the effects of the crisis, investors are becoming more confident about investing in other assets, such as stocks and real estate. This shift in investment focus has led to a decline in the demand for gold, which has contributed to the drop in its price.
Despite the drop in gold prices, some investors are still holding onto the precious metal, just in case there are further skeletons lurking in the closet. However, experts believe that the double correction since the previous week clears the way to the upside and does not signal that gold is in trouble.
In conclusion, the drop in gold prices in the UAE is a reflection of the changing economic landscape, as concerns about the global banking crisis ease. As the global economy continues to recover, investors are likely to shift their focus to other investment opportunities, leading to further changes in the price of gold and other assets. While the global banking crisis remains a significant challenge, the recent developments suggest that the worst may be over, and that the global economy is on a path to recovery.
Corporate Finance 