UAE Gold Traders Forced to Sell at Discounted Prices Amid Middle East Tensions
Dubai: Gold traders in the United Arab Emirates are reportedly being forced to sell gold at discounted prices due to disruptions caused by rising tensions in the Middle East.
According to foreign media reports, the worsening regional situation has led to flight cancellations and difficulties in transporting gold from suppliers to major trading hubs, creating disruptions in the market.
Many buyers have also stepped back from making new purchases, as they are unwilling to bear unusually high shipping and insurance costs. In addition, there is no guarantee of immediate delivery under the current circumstances.
As a result, instead of continuing to bear storage and financing costs, traders are selling gold at discounts of up to $30 per ounce compared to the global benchmark price in London.
The United Arab Emirates — particularly Dubai — serves as a major hub for gold exports across Asia. It also acts as a key transit route for gold shipments arriving from Switzerland, the United Kingdom, and several African countries.
