CHENNAI: Gold is being sold at discounted prices in Dubai as global gold prices have risen sharply, offering a pleasant surprise to buyers, as per a Maalaimalar report.
It is said that gold is being sold at a discount of up to 30 USD (around Rs 2,700) compared to the global benchmark price.
West Asia war have led to fluctuations in global markets. Following attacks by the United States and Israel on Iran, Iran retaliated by launching missile and rocket attacks on areas housing US bases. As the conflict escalated, several countries in the region closed their airspace, affecting international transport and trade.
In this situation, gold that could not be exported from Dubai has accumulated and is being sold at lower prices. Dubai functions as a hub for refining and exporting gold to Asian countries and also as a transit centre for gold exports coming from countries such as Britain, Switzerland and several African nations.
As a result, gold exports from Dubai have been affected, and due to the uncertain situation, customers and business establishments are reluctant to undertake new trade deals.
Since it is unclear when normal conditions will return, traders in Dubai have announced discounts on gold prices to reduce indefinite storage and financial costs.