Overview
- Spot gold recently slipped below $4,000 an ounce, marking its lowest level in more than three months after a broader market sell‑off.
- Analysts say much of the decline came from liquidity‑driven selling when investors sold gold to meet margin calls and free cash.
- Traders rotated money from high‑beta stocks into U.S. Treasuries, which pushed down the probability of a 25 basis‑point Fed hike to under 10 percent.
- Rising Brent crude above $113 a barrel has kept inflation risks high, which has limited gold’s upside even as nominal yields fell.
- In the UAE weekly retail prices fell by AED12.25–20.50 per gram and local dealers reported renewed buying of jewellery and 20g/50g bars as consumers took advantage of lower rates.