Gold and silver prices saw a significant surge on Wednesday due to global trade uncertainty, geopolitical tensions, and a decrease in the US dollar value. MCX gold April futures rose by 0.76% to Rs 1,61,180 per 10 grams, while MCX silver March futures increased by 3.20% to Rs 2,69,075 per kg. International gold prices, including US futures, also climbed as investors sought safe-haven assets amidst ongoing US-Iran tensions and concerns over US tariffs.
US President Donald Trump referred to Iran as “the world’s no 1 sponsor of terrorism” on Tuesday, expressing a desire to resolve issues with Iran through diplomatic means. Iran and the US are scheduled to engage in the third round of nuclear talks in Geneva on February 27. The dollar’s decline continued due to persistent trade uncertainties, with the US Supreme Court overturning high tariffs imposed by President Trump last week. This led to a 0.17% drop in the dollar index to 97.68, making gold more affordable for buyers using foreign currencies.
The US is currently enforcing a uniform 10% tariff on imports, with reports suggesting an imminent increase to 15%. Analysts highlighted that the People’s Bank of China (PBOC) bought gold for the fifteenth consecutive month in January, indicating that ongoing central bank purchases will bolster precious metal prices in the short term. The broader uptrend in COMEX gold remains stable, with the current sideways movement seen as a healthy pause following previous volatility and profit-taking activities.
Market participants emphasized strong buying interest in the $70–$75 support range for COMEX Silver, with the medium- to long-term outlook benefiting from industrial demand and supply constraints. An analyst mentioned that gold has support levels at Rs 1,58,800 and Rs 1,56,300, with resistance at Rs 1,61,400 and Rs 1,63,000. For MCX silver, support levels are at Rs 2,54,400 and Rs 2,48,800, while resistance is at Rs 2,66,000 and Rs 2,71,000.
