The Yellow Metal Loses Support

The price of the yellow metal dipped below the critical $4000 mark. Gold slid to its absolute lowest level in more than three months today. Investors aggressively dumped gold as stocks fell sharply across global markets. In the UAE, retail gold prices saw a massive drop over five days. At the start of the week, 24-karat gold sat at Dh504.25. Today, jewelry stores priced the exact same metal at Dh482.75. Retail 22-karat gold is currently trading well below the Dh450 level. Meanwhile, 18-karat gold sits at Dh367.50, and 14-karat at Dh286.50.

Tracking The Bullion Slide

Global bullion fell as much as 0.9 percent during the session. It reached its weakest level since mid-July, extending a near 3 percent drop. The metal later recovered a very small portion of those massive losses. Stocks extended their slump on Friday as investors exited AI-related names quickly. They aggressively bought US government bonds to secure their financial portfolios instead. All eyes remain fixed on the upcoming Federal Reserve policy meeting. Ranim Turfa works as the Head of Research and Market Analysis at Tickmill. She stated gold edged lower as rising oil prices revived inflation concerns.

Anticipating Central Bank Policy

This reinforced hawkish monetary policy expectations ahead of next week’s meeting. Markets widely expect the Federal Reserve to leave rates unchanged this month. However, traders still price in a strong possibility of a December hike. Bets on more tightening in 2027 add massive downward pressure on gold. On a technical perspective, analysts are keeping $4,000 as the level to watch. A clean break below it could trigger massive long liquidation quickly. To signal a genuine recovery, the metal needs to reclaim $4,100. Spot gold traded down 0.76 percent to $4,013.83 an ounce in Dubai. Keep track of the global economy and your personal investments. Find vital financial news and market analysis at The WAU.

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