Dubai gold prices soared to record highs after the global rally behind the bullion. The Dubai Jewellery Group reported that 24-karat gold was AED 465.75 per gram and 22-karat gold stood at AED 431.50. According to Khaleej Times, 24K and 22K were recorded to be at AED 468.25 and 433.75, respectively, in certain trades, which were the highest recorded in Dubai.
Reuters reported that international spot gold went as high as US dollar 3,896.49 per ounce on 1 October 2025 as a result of the expectation of U.S. MarketWatch added that central banks and institutional investors continued large-scale gold buying, driving demand further. The rising global price directly pushed the gold rate in Dubai to its highest level this year.
The Dubai gold prices record high rates were driven by safe-haven demand, a weakening U.S. dollar, and continuous inflows into gold-backed ETFs. According to Reuters, softer U.S. job data increased bets that the Federal Reserve would begin rate cuts, lowering the opportunity cost of holding gold. Gulf News highlighted that in Dubai retail markets, 22K gold crossing AED 400 per gram for the first time earlier this year was a major milestone, now surpassed with prices above AED 430.
Jewellery retailers in Dubai’s Gold Souk told Reuters that high prices have slowed customer demand. While investors and holders of physical gold see gains, many consumers are postponing purchases. Analysts warn that in case there are changes in global interest rates or the U.S dollar appreciates, the gold rate in Dubai could experience corrections even today when it is at high levels.
