Gold prices witnessed a sharp surge as rising geopolitical tensions involving the United States, Israel, and Iran drove investors toward safe-haven assets. In India, 24K gold climbed to ₹1,67,060 per 10 grams, marking a gain of ₹4,870 from its previous close. Meanwhile, 22K gold advanced to ₹1,53,138 per 10 grams.
On the commodities front, the rally was equally pronounced. MCX gold opened with a strong upside gap at ₹1,65,501 per 10 grams and quickly touched an intraday high of ₹1,67,915 — a jump of over ₹5,500 within minutes of the opening bell. Silver followed suit, with MCX silver opening at ₹2,78,644 per kg and surging to an intraday high of ₹2,85,978, registering gains of nearly 3.75%.
The spike comes amid heightened uncertainty in West Asia, as tensions escalate following US and Israeli military actions targeting Iran. The situation intensified after reports surrounding the death of Iran’s Supreme Leader, Ayatollah Ali Khamenei, and subsequent retaliatory strikes on US forces in the region. Such developments have amplified investor caution globally.
Traditionally, gold performs strongly during periods of political instability, as it is viewed as a reliable store of value despite offering no interest yield. The current rally is also being supported by sustained central bank purchases, inflation concerns, and expectations that the US Federal Reserve could adopt a more accommodative monetary stance.
Global financial institutions remain optimistic on bullion. Leading banks, including J.P. Morgan and Bank of America, have reiterated their constructive outlook, citing resilient demand and a shifting global risk environment.
Interestingly, diplomatic efforts are still underway. Oman, acting as mediator, has indicated “significant progress” in negotiations between Washington and Tehran, with further talks expected next week. However, markets remain cautious, and gold continues to reflect that uncertainty.
With the metal having already recorded its longest monthly winning streak in decades earlier this year, analysts now believe prices could potentially approach ₹2 lakh per 10 grams if geopolitical risks persist.
For now, gold remains firmly in focus as investors navigate an increasingly volatile global landscape.