: Monday, March 30, 2026 11:18 AM
Mumbai . With the US-Iran conflict entering its fifth week, the commodity market has seen a downward trend. On Monday, the first trading day of the week, both gold and silver prices registered weakness in early trade. Despite rising geopolitical tensions and an environment of uncertainty, investor sentiment appeared to be weakening, putting pressure on precious metals. At around 10.43 am on Monday morning, April contract gold on MCX fell by 0.68 percent i.e. Rs 982 to Rs 1,43,300 per 10 grams. At the same time, May contract silver was seen trading at Rs 2,28,721 per kg with an increase of 0.34 percent i.e. Rs 767. However, silver also declined in early trade. Earlier on Friday also, a slight fall was recorded in gold and silver, where gold closed at Rs 1,44,401 per 10 grams and silver closed at Rs 2,27,750 per kg.
Gold prices have also seen a decline in global markets, almost erasing last week’s gains. Despite increasing tensions in the Middle East, activities of Iran-backed groups and increased US military deployment, investors’ inclination towards safe havens appeared to be somewhat moving away. In early trade, gold prices in the international market fell by about 1.7 percent.
Gold prices also remained under pressure in the Commodity Exchange (COMEX). On Monday, gold fell more than 2 percent to $ 4,447.50 an ounce, although there was some recovery due to buying at lower levels and prices again reached around $ 4,500 an ounce.
Experts say that rising crude oil prices and fears of inflation have affected the demand for gold. Apart from this, the possibility of other central banks including the US Federal Reserve maintaining or increasing interest rates is also being considered a negative signal for gold prices.
Let us tell you that since the beginning of the war, gold prices have fallen by more than 15 percent. The attractiveness of gold, which is generally considered a safe investment, has weakened during this period and it seems to be in sync with the movements of the stock market.
At the same time, there has been a change in the purchase of gold by the central banks. While purchases by central banks have been a major reason for the rise in gold prices in the last few years, in recent developments countries like Turkey have started selling their gold reserves. It is being told that Turkey sold about 60 tons of gold, worth more than 8 billion dollars, in the first two weeks of the war.
Furthermore, many countries that are big buyers of gold are also energy importers. In such a situation, due to rise in the prices of crude oil, the availability of dollars to buy gold reduces, which impacts the demand.
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Web Title-Precious Metals Under Pressure Amid US-Iran Tensions; Gold Slumps Over 0.50 Percent