The recent turmoil surrounding the U.S.-Israeli conflict has created a volatile market environment
Gaurav Garg,
Research Analyst
Lemonn Markets Desk
Mumbai, March 10, 2026: Gold and silver prices saw a notable uptick today, driven primarily by geopolitical tensions as the US President Trump hinted at a potential resolution to the ongoing war, which has kept investors on edge. Gold rose by 0.87% to $5,178.40 per ounce, translating to approximately Rs1,52,808 per 10 grams, while silver surged 2.61% to $89.11 per ounce, or about Rs2,62,958 per kg. The recent turmoil surrounding the U.S.-Israeli conflict has created a volatile market environment, with inflation fears prompted by skyrocketing crude oil prices impacting investor sentiment.
Kaynat Chainwala, AVP Commodity Research, Kotak Securities, adds:
Spot gold climbed above $5,190/oz today, while silver gained about 3% to around $90/oz, as traders eye geopolitical developments following comments from Trump suggesting the Gulf conflict could end soon, which could ease inflation expectations, particularly after the recent sharp decline in oil prices. Yesterday, gold rebounded strongly from $5,010/oz, eventually settling near $5,140/oz, as easing concerns surrounding the conflict involving Iran weakened the U.S. dollar and supported bullion prices. Silver also posted solid gains, rising about 3% after recovering from an intraday low of $79.6 to close to $87/oz. The dollar had initially strengthened after WTI crude oil briefly surged toward $119 per barrel, a move seen as potentially inflationary and supportive of a more hawkish policy stance from the Federal Reserve. However, the sharp pullback in crude prices later in the session helped precious metals rebound from their earlier lows. Gold was also supported by continued central bank demand, with the People’s Bank of China extending its gold reserve purchases for a sixteenth consecutive month in February.
WTI crude oil fell to around $84.4 per barrel today as Trump indicated that the war with Iran may end “very soon,” easing fears of prolonged supply disruptions. He also signaled plans to waive oil-related sanctions and deploy the U.S. Navy to escort tankers through the Strait of Hormuz, while warning Iran with “death, fire, and fury” if it interferes with shipping in the key transit route. Oil markets have been highly volatile since tensions escalated in the U.S.–Israel confrontation with Iran on February 28, prompting several Gulf producers to reduce output following drone attacks. The United Arab Emirates, Kuwait, and Saudi Arabia joined Iraq this week in cutting production amid tanker traffic disruptions along the Strait of Hormuz, briefly pushing oil prices to $119.5 per barrel on Monday. Despite the sharp spike, prices later pared most of the gains and settled 5% higher at $94.8 per barrel, still the highest closing level since August 2022, after G7 finance ministers signaled their readiness to release strategic petroleum reserves if necessary, although they decided to hold off the release of oil from their respective strategic reserves, for now.
