23 February,2026 02:49 PM IST | Mumbai | mid-day online correspondent
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Precious metals witnessed a sharp rally on Monday, with gold and silver prices rising significantly amid escalating geopolitical tensions and a weakening US dollar. The surge reflects heightened investor interest in safe-haven assets during a period of global uncertainty.
On the Multi Commodity Exchange (MCX), gold April futures climbed 1.83 per cent during intra-day trade to reach Rs 1,59,749 per 10 grams. Silver March futures outperformed, surging 5.10 per cent to Rs 2,65,836 per kilogram. Earlier in the session, gold had gained nearly 2 per cent, while silver recorded an even sharper jump of around 6 per cent.
Market analysts attributed the rally primarily to rising geopolitical concerns, particularly developments involving the United States and Iran. Tensions have intensified as US President Donald Trump's 10-day deadline for a "meaningful deal" with Iran approaches. Reports indicate that Iran has signalled willingness to make concessions on its nuclear programme in exchange for sanctions relief and recognition of its uranium enrichment rights, in an effort to avert potential military escalation.
In addition to geopolitical factors, the decline in the US dollar has further supported precious metal prices. The dollar weakened after the US Supreme Court struck down a significant portion of tariffs imposed under the Trump administration, reducing the immediate scope for aggressive trade measures.
Silver's sharp rally is also being driven by supply-demand dynamics. Analysts noted substantial inventory drawdowns across major warehouses, particularly on the Comex exchange, indicating tightening supply conditions alongside rising demand. Temporary disruptions in Chinese markets have further contributed to the imbalance.
Meanwhile, concerns over slowing economic growth in the United States have added to gold's appeal as a safe-haven asset. Recent data showed US GDP growth moderating to 1.4 per cent in the fourth quarter, compared to 4.4 per cent in the previous quarter and 3.8 per cent earlier in the year, signalling a cooling economy.
From a technical perspective, analysts suggest that gold has key support levels at Rs 1,54,400 and Rs 1,53,150, while resistance is seen at Rs 1,59,100 and Rs 1,60,600. For silver, support levels are placed at Rs 2,48,800 and Rs 2,42,000, with resistance at Rs 2,57,700 and Rs 2,63,620.
Going forward, market participants will closely monitor upcoming US economic indicators, including factory orders, consumer confidence data, and the Producer Price Index (PPI), for further cues on price trends in the bullion market.
(With inputs from Agencies)
