UAE: Gold prices slip in Dubai after hitting 2-week high

Gold prices slipped on Tuesday morning after they reached near a two-week high in the previous session, helped by a subdued dollar.

Investors were waiting for US inflation data that could provide cues on the Federal Reserve's interest rate hike path.

Spot gold fell 0.20 per cent to $1,722.08 per ounce, as of 9.30am UAE time.

In the UAE, 24K gold price fell to Dh208.5 per gram at the opening of the markets on Tuesday as compared to Dh209.25 per gram at the close of the markets on Monday. Among the other variants of the yellow metal, 22K opened at Dh196.5 per gram, 21K at Dh187.5 and 18K at Dh160.75.

Edward Moya, senior market analyst at Oanda, said gold bulls fought hard on Monday to hold the $1,700 level and it seems the European Central Bank’s latest round of hawkishness is countering all the talk from the Federal Reserve about leaning towards another significant rate rise.

“This is a turning point in the gold trade and if inflation continues to slow, bullion should continue to stabilise here,” he said.

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