Gold Volatility Outpaces Silver as US-Iran Conflict Fades
Gold and silver prices have declined following the peak levels reached amid the ongoing US-Iran conflict. Spot gold has dropped by around 10%, 20% from its high of nearly $5,500 per troy ounce, while spot silver has corrected by about 12%, 15% from its elevated levels.
Market experts attribute the fall in precious metals to rising oil prices, which intensified inflation concerns and led central banks to adopt a hawkish policy stance. A firm US Dollar Index also made dollar-denominated bullion more expensive for overseas investors, weighing on global demand.
According to Jateen Trivedi of LKP Securities, gold is likely to remain volatile amid geopolitical triggers and can be seen between the range of ₹1,51,000, ₹1,54,500. Meanwhile, N S Ramaswamy of Ventura believes that silver prices will stabilize between $63 and $75 per ounce with high amplitude swings.
Anuj Gupta, SEBI Registered Research Analyst, expects gold to outperform silver due to its stronger direct correlation with geopolitical tensions and traditional safe-haven asset status. Vikram Subburaj, CEO of Giottus.com, advises investors to avoid reacting to short-term price movements and consider staggered buying for longer-term portfolio allocation.