New Delhi: Gold prices rose on Tuesday, ending a three-day losing streak. In futures trade, gold increased by Rs 922 to Rs 1,56,658 per 10 grams on the Multi Commodity Exchange (MCX).
This rise was mainly due to ongoing tensions in West Asia, which made investors move towards safe-haven assets like gold.
Silver Also Sees Strong Jump
Silver prices also went up sharply, breaking a four-day losing trend. The metal gained Rs 2,168 to reach Rs 2,58,700 per kilogram in futures trade.
During the day, silver even touched a high of Rs 2,62,899 per kg, showing strong demand from investors.
Why Are Prices Rising?
The main reason behind the rise in both gold and silver prices is global uncertainty. Tensions in West Asia, especially around oil supply routes like the Strait of Hormuz, have increased market fear.
When such uncertainty rises, investors prefer safe assets like gold and silver.
Impact Of Crude Oil And Inflation
Rising crude oil prices have also added to concerns about inflation. Higher oil prices can increase costs across the economy, which supports demand for precious metals.
However, some easing in crude supply fears has kept the market slightly balanced, with investors remaining cautious.
Global Market Trends
In international markets, gold prices also recovered after recent declines, trading above USD 5,000 per ounce. Silver prices rose above USD 80 per ounce, supported by strong demand.
Experts say central banks like the US Federal Reserve may keep interest rates unchanged for now. Investors are closely watching policy signals from major global banks.
What Experts Say?
Analysts believe that gold may see short-term consolidation, with support around USD 4,850 per ounce.
Silver is also supported by strong industrial demand, especially from the electronics sector, along with a possible supply shortage in the coming years.
Overall, both gold and silver have gained due to global tensions and economic uncertainty. Investors are staying cautious but continue to invest in safe assets to protect their money.
