Gold and silver metals rose on Monday, against the backdrop of strong safe-haven demand from investors amid ongoing escalation of geopolitical tensions in the Middle East. The yellow metal rose by Rs 7,000 per 10 gram to Rs 1.66 lakh while silver rose to Rs 2.86 lakh, registering a gain of Rs 20,000 per kg.
“If the conflict in West Asia continues, the risk premium for investors will rise, pushing gold prices in India to new highs,” Aksha Kamboj, vice-president, Indian Bullion and Jewelers Association (IBJA), told ET. “Gold has traditionally been a safe-haven asset for investors, and continued demand for gold could push prices to new highs,” the expert added.
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Commenting on further rise in precious metals, Kamboj said: “The extent of the rise will depend on the outcome of the conflict, the stance of monetary policy, and the value of the currency… while
Prices may rise in the short term, and investors should monitor the overall scenario.”However, according to Renisha Chainani, Head of Research at Augmont Gold, despite the price rise, investors are maintaining their positions in both metals and using price declines as opportunities to accumulate. The rise in gold and silver prices is accompanied by increasing concerns about crude oil. Since the joint Israeli and US military strikes on Iran on February 28, which were followed by Iranian retaliatory measures against Gulf states, crude oil prices have risen, creating additional pressure on India, which relies heavily on oil imports from the Middle East.
Since January, the price of gold has risen by 24%, while silver has risen by 30%. These impressive gains come on top of larger gains of 70% for gold and 125% for silver recorded earlier in the 2025 calendar year.(Disclaimer: Recommendations, opinions regarding stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times Of India)
