- By Aditya Pratap Singh
- Sun, 01 Mar 2026 05:38 PM (IST)
- Source:JND
Gold and Silver Price Prediction: The Middle East conflict, which has erupted after the United States and Israel's joint attack on Iran, can drive a massive uptick in gold and silver prices once the international and domestic commodity markets start trading on Monday, March 2.
The bullion prices remained volatile for the past two weeks on the back of unfolding developments around US-Iran tension. The rush to buy gold by central banks across the globe and demand in the retail market gave momentum to the bullion prices after a sharp decline earlier this year.
According to experts, the precious metal prices are set to experience high volatility on Monday as the demand for safe investments would go up amid ongoing global geopolitical uncertainties.
“Gold and silver prices are set to remain highly volatile with a gap up on the opening session tomorrow as the Middle East conflict involving renewed U.S. and Israeli military action against Iran continues to dominate global risk sentiment. A sharp escalation in hostilities, with coordinated strikes and retaliatory moves fueling uncertainty and diminishing hopes of a quick diplomatic resolution," said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.
Why Middle East Conflict May Spur Gold, Silver Prices
According to Trivedi, this increased geopolitical risk is driving investors towards traditional safe havens like gold and silver, and is expected to cause a gap-up opening for bullion markets.
"As global equities and risk assets come under pressure, capital tends to shift into precious metals, which act as a hedge against uncertainty," Trivedi noted.
When we see the historic bullion price movements, the earlier conflicts pushed gold and silver prices higher. The recent developments, including tariff conflicts post US President Donald Trump assumed the office for the second time, the Russia-Ukraine war and tension between Israel and Hamas, have gave a extended rally to the gold and silver prices.
Meanwhile, energy markets could see a major hit as the oil prices could rise further, escalating the supply disruption through key routes like the Strait of Hormuz, which further adds to risk-off sentiment and supports bullion interest.
"However, the impact may not be uniform — if over the weekend there are diplomatic developments or indications of de-escalation, precious metals could see profit-taking after an initial spike of 3-6%," Jateen Trivedi highlighted.
Ponmudi R, The domestic futures market believes that after prolonged pressure in metals and energy, the broad commodity basket begins this week with improved directional clarity. Recent price action suggests a gradual shift from passive consolidation to continuation, with bullion and crude oil forming higher-high formations that indicate a strong trend structure.
"MCX Gold has extended its upward trajectory after resolving the prior consolidation range, now trading firmly above the Rs 1,60,000 structural pivot. The earlier falling channel resistance has been decisively breached, converting prior supply into short-term support," said Ponmudi R, CEO of Enrich Money.
Price is currently stabilising near Rs 1,62,000 after registering fresh swing highs. The Rs 1,59,500–Rs 1,60,000 zone now acts as immediate demand following breakout acceptance. Momentum structure reflects higher highs and higher lows on the hourly framework, suggesting trend continuation rather than exhaustion," Ponmudi said further.