Today, Thursday, the price of gold in Saudi markets saw a notable increase, supported by the U.S. Federal Reserve's decision to cut interest rates by 25 basis points, stabilizing the rate at around 4%. This directly reflected on the movements of the precious metal globally and locally.
According to data from the "Sabaik" platform, the price of 24-carat gold rose to about 481 riyals per gram, while 22-carat reached approximately 441 riyals. The most traded 21-carat gold in the Kingdom recorded a level of 421 riyals, while 18-carat remained stable at 361 riyals per gram. This increase follows a rise in the global ounce price from $3916 to nearly $3987 during a single session, amid expectations for further upward movements for the yellow metal.
The increase in the price of gold in Saudi Arabia is attributed to the decline of the U.S. dollar following the interest rate cut decision, which has increased investors' demand for gold, seen as the preferred safe haven during times of economic fluctuations. The ounce of silver also rose to $47.98 according to the latest update from the "Sabaik" platform.
Analysts believe that the continuation of the upward trend in gold prices depends on the U.S. Federal Reserve's directions in upcoming meetings, especially with growing concerns about slowing global economic growth. Forecasts indicate that gold prices may continue to record high levels if the dollar remains weak against major currencies, while inflation rates stay elevated.
Market participants are monitoring price developments in the coming days to identify buying opportunities or profit-taking, especially since the price of gold remains a sensitive indicator reflecting shifts in global monetary policies and investor confidence in the markets.
