Gold Prices In Souk Market: Big Drop In 22K/100 Grams Yellow Metal By Rs 2,843 On Jun 8; When Will Prices Rise

Gold prices in the souk market of Dubai dropped massively by Rs 2,843 in 22K of 100 grams, a mildly steeper decline from 24K of 100 grams where yellow metal dipped by Rs 2,842 in Indian rupees. Broadly, all grams across carats plunged on June 8.

The prices in the souk market tracked the decline in the international market where two events influenced sentiments heavily. The People's Bank of China has declared to temporarily pause its massive gold bullion purchases. Secondly, the US job report revealed that the country added 272,000 new jobs, far higher than economists' expectations, which worries investors over inflationary pressures ahead and that could delay the rates cut scenario.

Gold prices in Indian rupees in Dubai:

22K witnessed a decline of Rs 28 to Rs 2,843. The steepest decline was seen in 100 grams by Rs 2,843 to Rs 5,84,994, compared to the previous day. While 10 grams of gold in Dubai tumbled by Rs 285 to Rs 58,449, by Rs 227 in 8 grams to Rs 46,800, and lastly by Rs 28 in 1 gram to Rs 5,850 from the earlier day.

Coming to 24K, the gold prices in Dubai under this carat witnessed a fall of Rs 29 to Rs 2,842. 100 grams once again witnessed the sharpest drop by Rs 2,842 to Rs 6,31,612. While 10 grams is down by Rs 284 to Rs 61,161, 8 grams is below Rs 227 to Rs 50,529, and lastly, 1 gram is lower by Rs 29 to Rs 6,319.

Gold Prices In Dubai In Dirhams:

In the local currency, the souk market registered a drop of 1.25 dirhams to 125 dirhams in gold prices across 18K, 22K and 24K.

Under 22K, the 100 grams of gold is at 25,725 dirhams, while 10 grams is at 2,572.50 dirhams. Further, 1-gram and 8-gram gold are at 257.25 dirhams and 2,058 dirhams.

Further, in 24K, 100 grams is at 27,775 dirhams, 10 grams at 2,777.50 dirhams, 8 grams at 2,222 dirhams and 1 gram at 277.75 dirhams.

Lastly, 18K of gold is at 21,325 dirhams in 100 grams, at 2,132.50 dirhams in 10 grams, at 1,706 dirhams at 8 grams, and 213.25 dirhams in 1 gram.

In its latest report, HDFC Securities said, "Gold as an asset class has been into consolidation phase for last 4-5 weeks. However primary trend of precious as well as industrial and base metals is positive and overall we expect them to perform in the coming months."

Currently, those investors who are looking to buy gold at the cheapest rate can look into 1 gram of 18K, 22K, and 24K.