Gold prices rose in the United Arab Emirates on Monday, based on FXStreet data. Gold was priced at AED 557.88 per gram, up from AED 556.14 on Friday.
The price per tola increased to AED 6,507.02 from AED 6,486.75 on Friday. FXStreet also listed AED 5,578.96 for 10 grams and AED 17,352.07 per troy ounce.
How Fxstreet Calculates Uae Gold Prices
FXStreet calculates UAE gold prices by converting international prices using the USD/AED exchange rate and local measurement units. Prices are updated daily at the time of publication and are for reference, as local rates may differ slightly.
Central banks added 1,136 tonnes of gold worth around $70 billion to reserves in 2022, according to the World Gold Council. This was the highest annual total since records began, with countries including China, India and Turkey increasing reserves.
Gold is often described as a store of value and is used in jewellery. Its price can be affected by the US Dollar, US Treasuries, interest rates, geopolitical instability and recession concerns.
The recent small increase in gold prices reflects a broader trend we are watching closely, which is tied to the weakening of the US Dollar. The dollar index has fallen over 2% in the last month after the latest US inflation data for March 2026 came in at 2.8%, slightly below consensus forecasts. This has fueled market expectations that the Federal Reserve may begin its rate-cutting cycle as early as this summer.
Central Bank Demand And Market Positioning
Underlying this move is the continued strong demand from central banks, which provides a solid floor for the price. The latest World Gold Council data for the first quarter of 2026 showed global central banks added a net 290 tonnes to their reserves, the most aggressive start to a year since 2023. This persistent buying, especially from emerging market banks, shows a strategic global shift away from dollar-denominated assets.
This is a notable change from the sentiment we saw in the second half of 2025, when gold prices faced significant headwinds. We remember the sharp correction gold experienced when the Fed signaled one final rate hike in September 2025 to combat stubborn services inflation. The current environment feels completely different, as slowing economic indicators now point toward monetary easing.
Looking at the derivatives market, positioning among speculative traders supports this bullish outlook. Recent Commitments of Traders (COT) reports from the CFTC show that net long positions held by managed money in gold futures have increased for five consecutive weeks. This indicates that hedge funds are increasingly betting on further price appreciation in the near term.
For traders, this suggests that long-dated call options are becoming an attractive strategy to capture potential upside while managing risk. The Cboe Gold ETF Volatility Index (GVZ) has actually decreased slightly in recent weeks, making option premiums relatively cheaper than they were a few months ago. This presents an opportunity to build bullish positions, such as call spreads, to capitalize on a potential move towards last year’s highs.
