Gold holds steady at Dh479.25 as traders await Fed signals
<h2><strong>Gold Steadies at Dh479.25 in UAE as Traders Watch Fed Outlook</strong></h2><p>Gold prices across the UAE were steady on Thursday, reflecting a pause in both local and international markets as investors weighed the US Federal Reserve’s next monetary policy moves. According to retail data, <strong>24-karat gold was priced at Dh479.25 per gram</strong>, while <strong>22-karat stood at Dh443.75</strong>, unchanged from Wednesday.</p><p>After several days of volatility marked by profit-taking and renewed buying, the local gold market appears to have entered a consolidation phase — a reflection of the broader global trend.</p><h2><strong>Local Market Finds Balance</strong></h2><p>At the start of November, UAE gold prices were slightly higher, with 24-karat gold trading around <strong>Dh482.25 per gram</strong> and 22-karat at <strong>Dh446.50</strong>. Prices touched <strong>Dh483.75</strong> and <strong>Dh448.00</strong> respectively on November 3 before easing back to <strong>Dh475.25</strong> and <strong>Dh440.00</strong> by November 4 as international bullion markets corrected from record highs.</p><p>Since then, prices have stabilized, suggesting both retail buyers and investors are waiting for fresh cues. According to local jewellers, demand remains steady but cautious, with shoppers monitoring global trends before making significant purchases.</p><p><i>(You can check the latest UAE gold rates here, along with prices in Saudi Arabia, Oman, Qatar, Bahrain, Kuwait, and India.)</i></p><h2><strong>Global Markets Mirror Consolidation</strong></h2><p>In global trade, <strong>spot gold hovered around $3,970 per ounce</strong>, maintaining gains from Wednesday’s 1.2% jump. Analysts say traders are closely watching new US economic data for clues about how quickly the Federal Reserve might continue cutting interest rates.</p><p>A report from <strong>ADP Research</strong> showed that <strong>US private-sector payrolls grew by 42,000 in October</strong>, marking a modest rebound after two months of contraction. While the data eased fears of a sharper economic slowdown, it confirmed that the labour market remains in a cooling phase — a dynamic that could influence the Fed’s stance.</p><h2><strong>Fed Policy: The Key Driver</strong></h2><p><strong>Federal Reserve Governor Stephen Miran</strong> described the labour data as “a welcome surprise” but reiterated his support for deeper rate cuts. Miran has previously disagreed with the Fed’s quarter-point reductions in September and October, instead advocating for half-point cuts to accelerate monetary easing.</p><p>His remarks have reinforced expectations that the Fed will continue its dovish tilt, a scenario that generally supports gold prices since <strong>lower interest rates tend to weaken the dollar</strong> and make non-yielding assets like gold more attractive.</p><h2><strong>Healthy Consolidation After a Strong Year</strong></h2><p>Gold has surged <strong>over 50% so far in 2025</strong>, driven by aggressive US rate cuts, strong central bank demand, and record inflows into bullion-backed exchange-traded funds (ETFs). However, recent weeks have brought a cooling-off period.</p><p>According to the <strong>World Gold Council</strong>, this phase of consolidation is a “healthy adjustment” after an extended rally.</p><blockquote><p>“The market looks to have entered a consolidation phase to unwind the historical overbought condition, which we view as a healthy development in the core uptrend,” the Council said.</p></blockquote><p>Analysts note that technical support remains strong in the <strong>$3,777–$3,729</strong> range, while a breakout above <strong>$4,158</strong> could trigger renewed momentum toward fresh record highs.</p><h2><strong>Traders Take a Breather</strong></h2><p>Market data shows a general slowdown in speculative activity. Exchange-traded gold funds have seen minor outflows in recent sessions, while options traders have reduced bullish bets following profit-taking earlier in the week.</p><p>Volatility, which had spiked during October’s rapid price swings, now appears to be easing. This period of stability could set the stage for the next major move — depending largely on upcoming <strong>US inflation reports</strong> and <strong>Fed communications</strong>.</p><h2><strong>Outlook: Watching the Fed and Inflation</strong></h2><p>With the <strong>US government shutdown</strong> delaying several key economic releases, investors have limited fresh data to guide decisions. As a result, global bullion markets — and by extension, the UAE’s retail market — are in a holding pattern.</p><p>Local traders expect gold to remain range-bound in the short term, with retail buying likely to pick up if prices dip below Dh475 per gram or if the dollar weakens further.</p><p>For now, <strong>both international and UAE gold markets appear to be catching their breath</strong>, awaiting clearer policy direction from the Federal Reserve.</p><p>As one Dubai-based trader put it:</p><blockquote><p>“The fundamentals for gold remain strong, but after such a big run, the market needs time to reset before the next move.”</p></blockquote>