Gold Soars to $4,540 as Iran Deal Optimism Fuels Silver’s 3% Surge!

Gold and silver prices showed strong momentum on Thursday, buoyed by optimism surrounding a potential US-Iran peace agreement and a weaker US dollar that enhanced investor interest in precious metals. Spot gold was trading close to $4,540 per ounce, while silver remained above $75.90, reflecting gains of over 3% from the prior day. On the MCX platform, gold futures were near ₹1,60,006 per 10 grams and silver at approximately ₹2,74,265 per kilogram. The positive sentiment was primarily driven by statements from US President Donald Trump indicating that negotiations with Iran were progressing, which boosted hopes that supply disruptions in critical areas like the Strait of Hormuz could be alleviated.

However, the backdrop of hawkish signals from the Federal Reserve creates a complex landscape for bullion markets. The recent Fed meeting minutes suggested that if inflation continues to exceed the 2% target, further interest rate hikes may be anticipated. Despite expectations that the Fed would hold steady through 2026, rising rate hike speculation for the latter half of the year could pressure gold prices, which tend to become less attractive in a higher interest rate environment. Following initial gains fueled by optimism regarding US-Iran relations, gold saw some retraction, pulling back below $4,550 as markets recalibrated expectations based on potential Fed actions. As traders awaited upcoming US economic indicators such as jobless claims and housing data, sentiment remained mixed.

For Indian investors operating in the MCX space, the technical outlook for gold indicates it is trading within a sideways range between ₹1,57,565 and ₹1,61,060, while silver is contained within ₹2,65,410 and ₹2,80,440. Immediate resistance for gold is identified at ₹1,60,000 to ₹1,60,400, while support levels are seen at ₹1,59,000 to ₹1,58,500. Similarly, silver faces resistance at ₹2,75,000 to ₹2,76,000, with a significant price drop possible below ₹2,71,000 leading toward levels around ₹2,67,000 to ₹2,68,000. Domestic investors must remain vigilant to both global cues and local technical patterns as these will influence trading strategies in the coming sessions.