Gold prices in Saudi Arabia were unchanged on Friday, based on FXStreet data. Gold was priced at SAR 564.62 per gram, the same as Thursday.
Gold also held steady at SAR 6,585.67 per tola, unchanged from a day earlier. Other listed prices were SAR 5,646.24 for 10 grams and SAR 17,561.79 per troy ounce.
Gold Pricing Reference Data
FXStreet converts international gold prices into Saudi Riyal values using the USD/SAR rate and local units. Prices are updated daily at publication time and are for reference, as local market rates may vary.
Gold has long been used as a store of value and a medium of exchange, and is widely used in jewellery. It is also commonly used as a hedge against inflation and currency depreciation.
Central banks hold the most gold and often diversify reserves during unsettled periods. They added 1,136 tonnes worth about $70 billion in 2022, the highest annual purchase on record.
Gold often moves inversely to the US Dollar and US Treasuries, and can also move opposite to risk assets such as equities. Prices may be affected by geopolitics, recession fears, interest rates, and USD strength, as gold is priced in dollars (XAU/USD).
Strategy Outlook For Gold Markets
With gold prices showing stability, we see this as a period to assess underlying market forces rather than a sign of inactivity. Given gold’s role as a safe haven, any increase in market volatility or geopolitical tension could trigger a significant upward move. Traders should therefore be looking at derivatives that profit from a potential price increase, even if the spot price is currently flat.
We are closely watching the US Federal Reserve’s stance on interest rates, as lower rates tend to boost gold. After the aggressive rate hikes we saw through 2023 and 2024, the market is now pricing in the possibility of rate cuts later this year as economic growth slows. This potential shift in monetary policy creates a favorable environment for non-yielding assets like gold.
Central bank purchases remain a powerful, supportive factor for the market. Following the record-breaking buying we witnessed in 2022 and 2023, data from 2025 confirmed that emerging economies continued to add significant volumes of gold to their reserves. This consistent demand, which the World Gold Council has reported as a multi-year trend, provides a strong floor for gold prices.
Inflation, while having cooled from the multi-decade highs of a few years ago, is proving persistent and remains above the central bank’s 2% target, currently hovering around 3.1%. This lingering inflation enhances gold’s appeal as a hedge, attracting investors looking to preserve the value of their capital. We believe this factor will continue to draw interest into the precious metal.
The inverse relationship between gold and the US Dollar is critical to our outlook. The US Dollar Index (DXY) has softened from its 2024 highs and is currently trading near 98.5, largely on the expectation of future Fed rate cuts. A continued weakening of the dollar would make gold cheaper for holders of other currencies, likely increasing demand.
In the coming weeks, we see opportunities in long-dated call options to capitalize on a potential upward trend while limiting downside risk. The current price stability offers a relatively low-cost entry point for these positions. Traders could also consider long positions in gold futures, using careful stop-loss orders to manage the risk of any unexpected market shifts.
