Gold and Silver Prices Rise on Weak Dollar and Tariff Uncertainty

Precious Metals Market Update

Key Highlights

• The US Supreme Court ruling against President Donald Trump's tariffs led to a decline in the US dollar, making dollar-priced commodities more attractive to overseas investors.
• The April futures contract on Comex jumped $140 per troy ounce to a day's high of $5,220, extending its winning run to a second straight day.
• The March silver futures contract on Comex rallied $5.5 per troy ounce to reach the day's high of $87.84, extending the winning run to a fourth straight session.

Market Analysis

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

The US Supreme Court ruling has created uncertainty over tariffs, leading to a decline in the US dollar. This has made dollar-priced commodities more attractive to overseas investors, driving up prices of gold and silver. The April futures contract on Comex has jumped $140 per troy ounce to a day's high of $5,220, while the March silver futures contract on Comex has rallied $5.5 per troy ounce to reach the day's high of $87.84.

India's Trade Delegation Delayed

India has delayed plans to send a trade delegation to Washington this week due to the tariff uncertainty following the US Supreme Court ruling. This has led to a decline in the US dollar, further driving up prices of gold and silver.

Domestic Market Update

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline

In the domestic market, the April gold futures contract on MCX gained ₹3,724 per 10 grams to reach the day's high of ₹1,60,600, contributing to a 7% rally in February. The March silver futures contract on MCX gained ₹15,931 per kilogram to ₹2,68,875, with silver prices regaining ₹40,092 per kilogram over the last five trading sessions.

Technical Analysis

According to Ponmudi R, CEO of Enrich Money, silver is trading near the $85–$90 zone after a sharp correction from record highs above $121. Strong buying interest is visible in the $70–$75 support band, and sustained stability above this zone could set the stage for renewed upside momentum. A breakout above $5,200–$5,300 would open the path toward a retest of record highs.

Key Figures

• $140 per troy ounce: gain in the April futures contract on Comex
• $5,220: day's high of the April futures contract on Comex
• $87.84: day's high of the March silver futures contract on Comex
• ₹1,60,600: day's high of the April gold futures contract on MCX
• ₹2,68,875: day's high of the March silver futures contract on MCX