By: Mahmoud Gamal

Dubai – Mubasher: Gold prices in the UAE grew by the end of last week on the back of the higher demand for Mother’s Day, coinciding with officials calling for the value-added tax (VAT) levied on gold to be reviewed.

The gold market recovered on the back of Mother's Day buying and trading, after a period of stagnation following the introduction of the VAT in the UAE on 1 January, analysts told Mubasher.

Despite the increase in gold prices in UAE and GCC markets, geopolitical tension propelled some investors to resort to gold as their safe haven, Sabayik Al Kuwait’s CEO Rajab Hamed said.  

Globally, the US Federal Reserve is expected to raise interest rates at least three times this year, which should weigh on the price of the precious metal, Hamed told Mubasher. 

By 10:47 am GMT, gold futures shed 0.48% to $1,354.40 per ounce, while spot gold lost 0.37% to $1,348.49 per ounce.

Translated by: Muhammad Khalid