Gold and silver prices rose on Friday, with precious metals climbing by up to 2% on expectations of a peace agreement in the West Asia conflict. On the Multi Commodity Exchange (MCX), gold futures for August went up by 1.11% or Rs 1,668 to reach an intraday high of Rs 1,50,600 around 11:30 am. The yellow metal was trading at Rs 1,49,916, up 0.66% or Rs 948, with an intraday low of Rs 1,49,569, marking a gain of 0.42% or Rs 637 from the previous close.
Silver futures for July were trading at Rs 2,42,143, up by Rs 2,490 or 1%. The white metal hit an intraday high of Rs 2,44,817, surging 2.15% during the session so far, with an intraday low of Rs 2,41,601, up 0.81% or Rs 1,948 from the previous close. Earlier in the day, gold and silver started at Rs 1,50,595 and Rs 2,42,776, respectively, on the commodity exchange.
Market experts noted that bullion was facing pressure overall, set for a second consecutive weekly decline due to persistent inflation worries and increasing expectations of a US Federal Reserve rate hike, impacting sentiment. Precious metals rebounded from six-month lows after US President Donald Trump hinted at a potential peace deal with Iran over the weekend. However, uncertainties persisted as Iranian officials denied reaching a final agreement.
Optimism regarding a diplomatic breakthrough reduced concerns about global energy supplies, leading to a drop in crude oil prices and an improvement in broader market risk appetite. Market participants are closely monitoring US-Iran negotiations and upcoming Federal Reserve statements for further insights into precious metal price trends. In international markets, COMEX silver traded at $66.94, up by over 4%, while COMEX gold surged by more than 2% to $4,203.70 per ounce.
Meanwhile, crude oil prices saw a sharp decline, with US West Texas Intermediate (WTI) crude dropping around 3% to $85 per barrel. The international benchmark Brent crude also fell by 1.59% to $88.94 per barrel.
