Market Note (04/03/2026): Middle East Conflict Disrupts Dubai Transit, Tightening Physical Bullion Availability

Escalation of the US led military campaign in the Middle East has disrupted global physical gold and silver flows after widespread flight suspensions to and from Dubai, one of the world’s most important bullion transit hubs. With air routes constrained, shipments that normally move by air are being delayed or rerouted, which can tighten short-term physical availability (especially for time sensitive deliveries) and widen regional premiums. Industry reporting notes that Dubai handles roughly around one-fifth of global gold flows, so prolonged disruption in the hub can translate into additional upward pressure on prices and higher logistics costs until flights and cargo capacity normalise.