Gold, silver rates today: Gold prices continue to rise for the fifth session straight, while the silver rate today surged nearly 2% on Tuesday, March 3, after closing in the red on the previous day, following escalating tensions in the Middle East.
Spot gold rate today was 1.26% higher, trading at $5,738 per ounce. On the other hand, spot silver prices rose 1.92% to $90.56 per ounce during the Asian trading hours, after falling 6% on Monday.
Factors driving bullions today
Donald Trump said the US would persist with its military campaign against Iran for as long as necessary, even as Tehran targeted oil and gas facilities and threatened maritime traffic in the region.
The surge in energy prices that followed has fueled inflation concerns in the US, pressuring Treasury prices and increasing expectations that the Federal Reserve may keep interest rates steady for an extended period.
According to a Bloomberg report, markets are now factoring in a potential rate cut by September, later than earlier projections. Although elevated interest rates can weigh on gold since it offers no yield, they may also strengthen its appeal as a store of value during periods of economic uncertainty.
Gold and silver prices near-term outlook
Prithviraj Kothari, Managing Director at RiddiSiddhi Bullions Ltd., President of India Bullion and Jewellers Association Ltd. and Chairman at Jain International Trade Organisation, believes that short-term volatility in both metals is likely to remain high due to geopolitical headlines and US economic data. The broader bias for both metals stays constructive, with corrections likely to be shallow and temporary.
He further noted that both gold and silver remain in a structurally strong uptrend, supported by geopolitical uncertainty, elevated global debt, and expectations of accommodative monetary policy.
“ As long as gold sustains above the $5,200 zone, the momentum favours a move toward $5,450–5,600 in the near term. Dips are likely to attract strategic buying rather than aggressive selling. Silver, meanwhile, is benefiting from both monetary and industrial tailwinds. After breaking above $95, silver has opened the path toward the $100–105 levels. Its higher beta nature suggests it could outperform gold in this phase of the rally,” Kothari said.
Meanwhile, Gaurav Garg, Research Analyst at Lemonn Markets Desk, said that sharp profit-booking could be witnessed amid rising volatility.
“Expect volatility to remain elevated. In case of further escalation, gold could test ₹1,70,000 per 10 grams and silver may approach ₹3,00,000 per kg in the near term. However, any diplomatic breakthrough could prompt sharp profit-booking, given the rapid 3–6% rally recorded within a short span,” Garg said.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
