Gold, silver rates today: Gold and silver rates today continued their downward trajectory, dropped up to 3% on Monday, March 23, driven by escalating tensions in the Middle East.
COMEX gold rate today fell 3% to $4,462 per ounce, after having lost nearly 11% in its worst week since 1983. While COMEX silver prices plunged 3% to $67.5 per ounce during the Asian trading hours on Monday.
Why are gold and silver prices falling?
Rising oil prices have heightened inflation concerns and dampened expectations of near-term interest rate cuts by the US Federal Reserve and other global central banks. This has created a negative backdrop for non-yielding gold, which has fallen for eight straight sessions.
Crude prices fluctuated on Monday after Donald Trump issued a two-day ultimatum to Iran to reopen the Strait of Hormuz or face potential strikes on its power plants.
In response, Iran warned it could completely shut the crucial waterway and target energy, IT, and desalination infrastructure if its facilities were attacked. Trump delivered the warning at 7:44 p.m. New York time on Saturday.
The dollar and US Treasury yields extended their gains after a Reuters report indicated that the American military is sending thousands of additional marines and sailors to the Middle East. A firmer dollar makes dollar-denominated bullion less attractive for investors using other currencies.
Gold and silver prices outlook
According to Ponmudi R, CEO of Enrich Money, precious metals are likely to remain under pressure in the coming week after witnessing a sharp correction triggered by profit booking, a stronger US dollar, and mixed cues from ongoing geopolitical tensions in the Middle East.
He added that after testing previous highs, precious metals have entered a pullback phase, with prices now heading toward key support levels as investor sentiment turns cautious amid heightened event risks.
“A selective buy-on-dips strategy near strong support zones is advisable, as long-term macro fundamentals remain supportive. However, near-term headwinds from dollar strength and any signs of easing geopolitical tensions may cap upside potential,” Ponmudi said.
On the technical front, he noted that COMEX gold has seen a sharp correction after retesting its earlier record-high resistance zone of $5,300–$5,500, and is currently trading in the range of $4,450–$4,520.
Meanwhile, on the technical outlook of silver prices, he said that COMEX Silver continues to trade within a subdued range of $62–$70 after a sharp correction from its earlier highs near the $93–$97 resistance zone, with the decline largely driven by profit-booking and a stronger US dollar.
Ponmudi further noted that on the downside, the $60–$65 zone acts as a critical demand base; a decisive breakdown below this region could accelerate weakness toward $50 or lower levels. On the upside, a sustained hold above this support may trigger a recovery toward $75–$80, with extended gains potentially reaching $85–$90.
“Overall, the broader bullish bias remains intact, supported by a balance between safe-haven demand and industrial demand. However, this outlook would weaken if there is a decisive break below the key $60–$65 support zone, while geopolitical developments and macroeconomic factors are expected to continue influencing price direction,” he added.
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.
