NEW DELHI — Gold and silver prices surged Friday as escalating tensions between the United States and Iran boosted safe-haven demand, while a marginal pullback in the U.S. dollar added further support to bullion.
MCX gold April futures rose 0.43 percent to Rs 1,60,399 per 10 grams in intraday trade around 12:30 p.m. Silver saw sharper gains, with MCX March futures climbing 3.05 percent to Rs 2,67,600 per kilogram.
Investor sentiment turned cautious after U.S.-Iran nuclear negotiations were extended without clear progress, keeping geopolitical risks elevated. Reports of a U.S. troop buildup and renewed warnings exchanged between the two nations, along with fresh U.S. sanctions targeting Iran’s oil and weapons exports, fueled demand for precious metals.
The dollar index slipped 0.04 percent to 97.76, making dollar-denominated bullion slightly cheaper for holders of other currencies. However, the greenback remains near four-week highs after recent gains, limiting the upside in gold.
At the same time, expectations of near-term U.S. interest rate cuts have diminished amid signs of resilience in the American economy, adding a layer of complexity to bullion’s outlook.
On the regulatory front, the Securities and Exchange Board of India (SEBI) revised the framework for how mutual funds value physical gold and silver held in exchange-traded funds. The move is aimed at better aligning valuations with domestic market conditions, improving transparency and standardizing pricing practices across fund houses. The updated norms will take effect April 1, 2026.
From a technical perspective, analysts said MCX gold futures are consolidating within the Rs 1,55,000 to Rs 1,65,000 range after retreating from record highs near Rs 1,80,000 to Rs 1,81,000. They noted that the broader uptrend remains intact, with the current sideways movement viewed as a healthy pause rather than a reversal.
For silver, key structural support is seen in the Rs 2,25,000 to Rs 2,35,000 zone. A sustained hold above this range could open the path toward Rs 3,00,000 to Rs 3,25,000 in the medium term, analysts said. (Source: IANS)
