Gold and Silver Prices Rise on MCX Amid Middle East Tensions, Trim Early Gains
Gold , silver prices open higher on the Commodity Exchange of India (MCX) on Thursday, driven by increased safe-haven demand amid escalating tensions in the Middle East. However, both precious metals eased slightly later in the session after witnessing strong early gains.
MCX gold rate for April fut contracts started the trading day on a strong note. Gold opened higher by ₹1,225, or 0.75%, at ₹1,62,750 per 10 grams, compared with the previous closing price of ₹1,61,525. During early trading hours, the yellow metal continued its upward momentum and climbed to an intraday high of ₹1,63,142.
Market analysts said that rising geopolitical tensions in the Middle East have increased investor demand for safe-haven assets like gold. When global uncertainty rises, investors often shift their funds from riskier assets such as equities into precious metals, which are considered more stable during crises.
However, after the initial surge, gold prices slightly pulled back as traders booked profits during the day. Despite the minor correction, prices remained higher than the previous session, reflecting continued investor interest in bullion.
Silver prices also followed a similar trend on MCX. The May futures contract for silver opened higher by ₹4,340, or 1.63%, at ₹2,69,900 per kilogram compared with the previous close of ₹2,65,560. Strong buying interest in the early session pushed silver prices higher as investors responded to global market uncertainty.
Like gold, silver prices also eased slightly from their early highs during the trading session as some traders chose to lock in profits.
Experts say the movement in bullion prices is closely linked to global geopolitical developments, currency fluctuations, and expectations around interest rates. If tensions in the Middle East continue or escalate further, demand for safe-haven assets could keep supporting gold and silver prices in the near term.
Investors are also keeping a close eye on international economic data and global central bank policies, which can significantly influence the direction of precious metal prices.
Overall, the bullion market remains volatile, with geopolitical developments playing a major role in shaping short-term price trends.
