Introduction Of Gold
Jewellers report steady sales as gold retains its status as a trusted investment
As gold prices soar to historic highs in the UAE, shoppers are responding in varied ways—some cashing in by selling their old jewellery, while others are hitting pause on new purchases.
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Jewellers across Dubai are seeing a slight dip in the volume of It jewellery sales, as consumers adjust their buying habits. “There’s been a noticeable shift towards smaller, lightweight ornaments and It coins,” said Joy Alukkas, Chairman of the Joyalukkas Group. “Customers are more cautious, but gold’s status as a safe-haven asset remains intact.”
Price Swings Spark Cautious Optimism
On Wednesday morning, the price of 24K It in Dubai dipped below Dh400 per gram, falling to Dh399.5 after briefly touching a record Dh420 per gram the day before. The global price of gold also retreated, dropping to $3,322.44 per ounce—a 2.5% decline after reaching $3,500 on Tuesday.
Other purity levels followed suit:
- 22K fell to Dh370.00
- 21K dropped to Dh354.75
- 18K slipped to Dh304.00
The fluctuations haven’t gone unnoticed. “Many customers are taking advantage of these high prices to sell their old jewellery,” said Alukkas. “Some are exchanging for newer designs, while others are simply locking in profits in case prices climb further.”
Long-Term Trust in Gold Endures
At Malabar Gold and Diamonds, Managing Director of International Operations Shamlal Ahamed noted a “slight slowdown” in purchases among more price-sensitive shoppers. However, he emphasized that such dips tend to be temporary.
“We haven’t seen a significant uptick in gold exchange activity, which suggests that customers are holding onto their assets,” Ahamed said. “This is a strong indicator of their confidence in gold’s long-term value.”
Despite the recent volatility, both jewellers agree that sales are holding steady overall. Alukkas added that demand remains consistent for milestone moments and long-term investment purposes. “Whether it’s a wedding, celebration, or wealth preservation, It remains a trusted choice. Our sales continue to benefit from curated designs and offers that resonate with current market trends.”
A Resilient Market
Even as prices fluctuate, the sentiment in the market remains upbeat. With consumers adapting to new price levels and recognising It enduring appeal, jewellers in the UAE continue to see stable demand.
“It is still very much part of the UAE’s investment mindset,” said Ahamed. “And that belief in its reliability isn’t going anywhere.”
