Gold prices in Saudi Arabia rose during early trading on Tuesday, February 23, 2021, as the price of precious metal rose globally.
Gold rose to a week-long peak Tuesday, supported by a weaker dollar and a weakening U.S. Treasury yield, while the attractiveness of the yellow metal was boosted by fears of higher inflation.
The price of 24 per gram of gold in the Kingdom on Tuesday rose to 218.22 riyals ($58.19), compared to 215.09 riyals ($57.36) yesterday.
The price of 21 per gram of gold (the most traded in Saudi Arabia) increased to 190.95 riyals ($50.92), compared to 188.20 riyals ($50.19), on Monday.
The price of 18-carat gold in Saudi Arabia rose to 163.67 riyals ($43.64), compared to 161.32 riyals ($43.92) yesterday.
The price of 14-carat gold in Saudi Arabia rose to about 127.30 riyals ($33.95), compared to 125.47 riyals ($33.38) on Monday.
Ounces and pounds gold
The price of an ounce (ounce) in Saudi Arabia was about 6,791.25 riyals ($1,811), and the price of the pound gold (8 grams of 21 caliber) was about 1527.57 riyals ($407.35).
Gold in spot trading today climbed 0.2% to $1,812.06 an ounce by 0520 GMT, after hitting its highest level since February 6 at $1,815.63 earlier in the session.
U.S. gold futures gained 0.2% to $1,811.30.
“One of the few assets that is no longer more favorable than gold at the moment is the dollar… So this supports gold prices by extension.”
The dollar hit its lowest level in more than a month, reducing the cost of gold for holders of other currencies, as investors await testimony from U.S. Federal Reserve Chairman Jerome Powell to Congress later in the day.
Benchmark U.S. Treasury yields fell from a near-year peak on Monday, reducing the opportunity cost of acquiring the non-yielding precious metal.
Gold, usually seen as a hedge against inflation, rose 1.5% in the previous session, as fears of higher inflation pushed global equities down.