Festive Demand Drives Gold and Silver Prices Higher Amid Market Volatility

This week's market trends for gold and silver have been volatile, with both metals experiencing significant price fluctuations during trading. However, as we enter the upcoming festive season, expectations suggest that demand will surge, potentially pushing prices to new levels.

The US-Iran conflict has had a significant impact on international markets, influencing precious metal prices. Gold is often considered a safe-haven asset during periods of geopolitical uncertainty, but its performance this year has been marked by volatility due to rising US Treasury yields and a stronger dollar.

According to the latest data from the Multi Commodity Exchange (MCX), October gold futures are trading at Rs 1,51,135 per 10 grams, while silver futures have risen to Rs 2,34,151 per kg. Ajay Kedia, Director of Kedia Advisory, noted that New York Fed President John Williams' statement on potential rate hikes has put additional pressure on bullion prices.