Dubai’s gold market concluded a historic year with a downward adjustment on Wednesday, December 31, 2025, as prices declined across all variants during the final trading session. The 24K gold price opened at Dh522 per gram, reflecting a decrease of Dh3 from Tuesday’s closing rate of Dh525 per gram.
According to data released by the Dubai Jewellery Group, other gold variants followed similar downward trajectories. The 22K variant settled at Dh483.25 per gram, while 21K gold traded at Dh463.5 per gram. The 18K and 14K categories declined to Dh397.25 and Dh309.75 per gram respectively.
In international markets, spot gold was trading at $4,332.47 per ounce at 9:30 AM UAE time, representing a 0.88 percent decrease. This movement continues the correction that began earlier in the week, with gold having experienced a significant five percent single-day drop on December 29.
Market analysts attribute this correction to several converging factors. Ahmad Assiri, Research Strategist at Pepperstone, identified aggressive profit-taking activities and the unwinding of leveraged positions as primary drivers behind the precious metal’s recent volatility. “The speed of the correction, as much as its magnitude, was the key element behind the intensity of the market reaction,” Assiri noted.
Seasonal market conditions have amplified these price movements. Year-end trading typically features thinner liquidity, making prices more susceptible to fluctuations from relatively modest positioning adjustments. Despite the recent pullback, market observers note that gold has demonstrated notable resilience around the $4,350 level, which corresponds with the upper boundary of its previous trading channel.
Assiri suggested that the current correction might present strategic opportunities rather than signaling a fundamental trend reversal: “As volatility subsides and liquidation pressures ease, this pullback could ultimately prove to be a renewed opportunity rather than a trend reversal in gold.”
The year 2025 has been exceptionally strong for gold investors in Dubai, with residents having gained approximately Dh200 per gram throughout the year prior to this final week’s adjustment.