The ongoing conflict between Iran, Israel, and the United States is sending global markets into turmoil. Investors are retreating from equities amid fears over the war, driving a surge in demand for gold and silver. Market analysts predict that prices of these precious metals will continue to rise sharply in the coming days due to geopolitical uncertainty.
Domestic stock markets are expected to open sharply lower, with investors selling shares to minimize potential losses. While equities face pressure, gold prices are soaring, making them increasingly unaffordable for ordinary buyers. Silver is following a similar upward trajectory, raising concerns about the financial impact on households.
With the wedding season underway, rising gold and silver prices could strain family budgets. International gold is trading around $5,300 per ounce, while in India, the price of 10 grams of gold has already crossed ₹1,62,000 and could reach ₹1,70,000 if tensions escalate. Silver has also surged, with the price per kilogram rising ₹10,000 in a single day to ₹2,95,000, and analysts warn it could surpass ₹3,20,000.
The conflict has also driven up crude oil prices, weakening the Indian rupee. As India imports gold, a depreciating rupee would force the country to spend more on imports, further driving domestic gold prices upward. Experts say continued geopolitical tensions could maintain this upward pressure, affecting markets and everyday expenses for citizens.