Silver Price Remains Stable Near ₹2.44 Lakh/ Kg Amid Middle East Tensions and Fed Cues

Silver Prices Hold Steady Amid Escalating US-Iran Tensions

Silver prices remained largely unchanged on Tuesday, as investors remained cautious following fresh tensions between the US and Iran in the Middle East. The situation has kept safe-haven demand for precious metals like silver intact, though not strong enough to trigger a sharp rally.

In India, the MCX silver rate was steady at ₹2,43,927 per kg, while the MCX gold rate was muted, up 0.4% at ₹1,49,950 per 10 grams. Internationally, spot silver inched up 0.1% to $72.76 per ounce, reflecting a cautious undertone in the market.

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The escalating tensions between the US and Iran, particularly around the strategically critical Strait of Hormuz, have been a key driver of gold and silver prices. Fresh military action has rattled markets, with both sides engaging in naval and aerial confrontations, raising concerns over global oil supply disruptions and broader economic uncertainty.

Reports indicated that US forces destroyed multiple Iranian vessels and intercepted missiles and drones, while Iran attempted to disrupt shipping routes. The situation has kept investors on edge, with safe-haven demand for precious metals like silver intact. However, the situation has not been strong enough to trigger a sharp rally in silver prices.

On the monetary policy front, commentary from New York Federal Reserve President John Williams suggested that current policy settings are adequate to navigate uncertainty. He indicated that once inflation pressures ease, the central bank could shift focus back toward rate cuts. However, political pressure continues to build, with US President Donald Trump reiterating his call for lower interest rates. This divergence between policy stance and political messaging has added another layer of uncertainty for bullion markets.

Overall, silver is currently caught between competing forces—geopolitical risk offering support, and a relatively firm interest rate outlook limiting upside. Until there is more clarity on either front, prices are likely to remain range-bound with a mild upward bias.

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