Iran Iran: Gold and silver prices rose by more than 1 percent on Wednesday amid increasing conflict between the US-Israeli alliance and Iran, which increased safe haven demand. MCX Gold April futures were up 1.04 per cent at Rs 1,62,790 per 10 grams on an intraday basis at 11.30 am. Meanwhile, MCX Silver May futures rose 1.84 per cent to Rs 2,70,200 per kg. Rising tensions in the Middle East and the prospect of energy disruptions pushed investors towards safe haven assets, and inflation concerns in the US led investors to consider the possibility of the US Federal Reserve keeping interest rates unchanged for a longer period.
However, despite the rise in precious metals, a huge fall was seen in gold and silver exchange-traded funds (ETFs) on Wednesday. Large silver ETFs fell 7.12 per cent to 7.43 per cent, while gold ETFs fell between 3-3.87 per cent. Spot gold rose nearly 1% to $5,138.46 an ounce, while US gold futures for April delivery rose 0.5% to $5,147.10. Gold is up 19% so far this year after seeing a 64% rise in 2025 on geopolitical turmoil and strong central bank buying. The dollar index rose 0.15 percent to 99.20, making greenback-backed bullion costlier for buyers in foreign currencies, capping further gains in the yellow metal.
US President Donald Trump said that the US military attacked several Iranian naval and air targets, while Iran targeted vital oil infrastructure in the Gulf region. Due to this, investors retreated from equities due to fear of massive disruption in energy markets and shipping routes. WTI crude climbed above $75 a barrel, gaining nearly 11 percent in two days. Brent was trading near $81 a barrel as the focus remained on supply risks due to the escalating conflict in the Middle East and disruptions to shipping through the Strait of Hormuz.
Investors are keeping an eye on signals from US manufacturing and non-manufacturing PMI, ADP non-farm employment change and unemployment data to gauge the direction of Federal Reserve policy. An analyst said, “Gold has support at Rs 1,58,000 and Rs 1,62,000, while resistance is at Rs 1,75,000 and Rs 1,80,000. MCX Silver has support at Rs 2,50,000 and Rs 2,70,000, and resistance at Rs 3,00,000 and Rs 1,80,000.” Is at Rs 3,20,000.”
Comments are closed.