Why gold, silver prices are rising today. Explained

Gold and silver prices jumped sharply after US and Israeli military strikes on Iran triggered a broad risk-off sentiment across global markets, pushing investors toward safe-haven assets and sending crude oil surging nearly 9 per cent in early Asian trade.

On MCX, gold crossed the ₹1,60,000 structural pivot and is now trading around ₹1,62,000, with analysts eyeing the next resistance band at ₹1,63,500–₹1,65,000. Silver has also rallied in tandem, with both precious metals expected to open with a gap-up in the next session, according to Jateen Trivedi, VP Research Analyst at LKP Securities.

The strikes have raised concerns over supply disruptions through the Strait of Hormuz, a critical oil transit route, adding further fuel to the risk-off move into bullion. Trivedi cautioned that while the momentum remains strong, any diplomatic development or sign of de-escalation over the weekend could trigger profit-taking of 3–6 per cent after an initial spike.

For India, the implications extend beyond gold prices. The country imports close to 90 per cent of its crude oil, and a sustained rise in Brent directly feeds into fuel costs, inflation, and a wider current account deficit. Rajeev Sharan, Head of Criteria, Model Development and Research at Brickwork Ratings, noted this complicates the RBI’s disinflation path and could delay rate cuts.

Indian equities have already moved into risk-off territory, with pressure building on autos, financials, and energy-intensive sectors. Foreign investor outflows are also a concern, with the Nifty 50 already under pressure on a year-to-date basis.

Gold jewellery stocks such as Titan and Kalyan Jewellers face a negative outlook, as higher gold prices typically dampen consumer demand.

Precious metals are expected to stay supported as long as escalation risks persist, with the conflict premium likely to ease only when credible de-escalation channels emerge and key oil routes remain secure.

Published on March 2, 2026