Gold Surges to Record Highs Amid Iran-Israel Conflict
GOLD Price Chart
Sentiment vs Price Trend GOLD
Correlating market mood with price action
Gold and silver prices experienced a significant surge on March 2nd, 2026, driven by escalating tensions following joint US-Israeli military strikes on Iran, resulting in the death of Supreme Leader Ayatollah Ali Khamenei and Iran's subsequent closure of the Strait of Hormuz. Gold prices on the MCX jumped over 5%, reaching ₹1,67,059/10g, while silver skyrocketed nearly 9% to ₹2,90,308/1kg. Globally, spot gold advanced to over $5,384 per ounce, hitting a four-week high. Experts attribute the rally to gold's status as a safe-haven asset amidst geopolitical uncertainty and fears of supply disruptions, particularly in crude oil, which surged over 7%. The conflict has prompted investors to shift towards defensive assets, with gold ETFs also experiencing substantial gains. While some analysts suggest potential profit-taking, the consensus is that continued conflict will likely push prices higher, potentially reaching $6,000-$6,300 per ounce by year-end, according to J.P. Morgan and Bank of America.
Key Points
- 1Gold prices on MCX rose over 5% and silver nearly 9% due to Iran-Israel conflict.
- 2Global spot gold reached a four-week high above $5,384/ounce.
- 3Crude oil prices surged over 7% due to Strait of Hormuz closure, exacerbating inflationary pressures.
Market Impact
The conflict has triggered a 'safe-haven' rush into gold and silver, impacting global financial markets and prompting portfolio rebalancing towards defensive assets. Increased geopolitical risk is expected to sustain upward pressure on precious metal prices.