Gold and silver set for sharp rise as Israel-Iran conflict rattles markets

Gold and silver prices are expected to open significantly higher at the start of the trading week as intensifying hostilities between Israel and Iran prompt investors to seek refuge in safe-haven assets, market analysts said on Saturday.

Heightened geopolitical tensions following Israel’s reported “preventive” missile strikes on Iran have unsettled financial markets, with experts forecasting a strong upward move in precious metals when trading resumes on Monday.

Tehran was hit by large explosions earlier in the day, marking a dramatic escalation in the confrontation. The growing risk of a broader regional conflict has added to uncertainty across global markets.

Market participants said the latest developments are likely to reinforce demand for gold and silver, traditionally viewed as protective assets during periods of volatility. Analysts expect a “gap-up” opening in bullion prices, reflecting nervous sentiment among investors.

On international markets, COMEX gold is said to be testing resistance around $5,300 per ounce. A sustained move above that threshold could push domestic gold prices towards Rs 1,68,000 to Rs 1,70,000 per 10 grams, according to market commentary.

In India, MCX Gold has already broken out of a consolidation range, moving decisively above Rs 1,60,000 and stabilising near Rs 1,62,000. Analysts suggest that if prices hold above the Rs 1,60,000 support level, they could advance further towards Rs 1,63,500 to Rs 1,65,000 in the near term.

Silver has also recorded a strong upward breakout on the MCX, climbing into the Rs 2,80,000 to Rs 2,85,000 band. Experts believe that continued momentum and sustained support could see prices extend towards Rs 2,90,000 to Rs 2,95,000.

Meanwhile, the Israel Defense Forces said earlier that sirens had sounded across Israel, with mobile alerts advising residents to remain close to protected spaces, underscoring the tense security environment.

With geopolitical risks mounting, investors are likely to monitor developments closely as markets react to the unfolding crisis.

With IANS input