Dubai gold prices fall for third week as bullion demand surges
Dubai gold prices fell for a third consecutive week, prompting a notable uptick in purchases of bullion bars as retailers report growing interest from investors and savers across the UAE.
Weekly price movements
Gold prices in Dubai declined again last week, with the drop extending a three-week streak that has lowered the price of a gram by a cumulative 46.25 AED.
The marketplace recorded the gram of 24‑carat at 500.75 AED, down 7.25 AED from the prior week, while 22‑carat stood at 463.75 AED with a similar weekly fall.
Other carats followed suit: 21‑carat at 444.75 AED (down 6.75 AED), 18‑carat at 381.25 AED (down 5.75 AED) and 14‑carat at 297.25 AED (down 4.50 AED).
Retailers report surge in bullion sales
Multiple gold and jewellery outlets across Dubai and Sharjah told reporters that the prolonged price dip has driven customers toward bullion bars of various weights.
Mohammad Dheeban, marketing director at Al‑Ramzan Gold Trading Group, said the downward trend has translated into stronger overall sales, particularly in bullion, which attracted buyers from a wide range of nationalities.
Shop managers reported that interest is not confined to a single bar size, with small and large denominations showing brisk demand as new and returning customers look to add to holdings.
Customer behaviour shifts away from jewellery
Retailers noted a shift in consumer preference from ornamental jewellery toward investment‑style products after the recent price correction.
While jewellery remained attractive for seasonal gifting and special occasions, most outlets observed that discretionary purchases of finished pieces climbed at a slower rate than bullion acquisitions.
Merchants explained that the price drop created a buying window for savers who prefer the liquidity and perceived safety of bars over crafted items.
Sellers’ perspectives on investor sentiment
Store managers and gold traders indicated growing confidence among buyers that current prices offer an opportunity to buy for either saving or medium‑term investment.
Riki Dahnak, owner of Riki Gold & Jewellery, observed that many customers explicitly cited investment motives, expecting prices to recover and generate returns after the recent slide.
Another retailer, Jai Dehkan of Dehkan Gold, described the buyer mix as increasingly investment‑oriented, with clients seeking to allocate spare funds into physical gold rather than cash or other assets.
Market outlook and supply considerations
Retailers are forecasting continued momentum in bullion sales if prices remain subdued, though they cautioned that demand can shift rapidly with any change in market direction.
Supply channels in Dubai and Sharjah remain active, and merchants say they are prepared to meet demand across different weight classes to accommodate both small savers and larger investors.
At the same time, sellers stressed that jewellery demand typically strengthens around cultural and seasonal events, which could rebalance sales composition in coming months.
Gold continues to play a central role in household saving strategies in the UAE, and the recent three‑week decline in Dubai gold prices has reactivated that dynamic.
For now, retailers expect buyer activity to remain elevated around bullion as customers reassess portfolios and seek to capitalise on lower entry prices.
