Gold Regains Shine, Surges to ₹1.59 Lakh per 10 Grams; Silver Crosses ₹2.60 Lakh as Bullion Demand Strengthens.

New Delhi, June 15: Gold prices witnessed a sharp rally in the national capital on Monday, climbing by ₹2,500 to reach ₹1.59 lakh per 10 grams, while silver prices also extended their gains, rising to ₹2.60 lakh per kilogram. The surge came amid strong global cues and renewed investor interest in safe-haven assets following developments surrounding a peace framework between the United States and Iran.

According to market participants, gold of 99.9 per cent purity advanced to ₹1,59,400 per 10 grams (inclusive of all taxes) from its previous close of ₹1,56,900 per 10 grams on Friday. The rise reflects increased buying activity in both domestic and international markets as traders responded to geopolitical developments and shifting expectations in global commodity markets.

Silver mirrored the bullish trend, registering its second consecutive session of gains. The precious metal jumped ₹5,000 per kilogram to settle at ₹2,60,700 per kg (inclusive of all taxes), compared with ₹2,55,700 per kg in the previous trading session. Strong industrial demand, coupled with positive sentiment across the precious metals segment, contributed to the upward movement in silver prices.

Market analysts noted that the rally in bullion prices accelerated after Washington and Tehran announced an interim framework aimed at reducing tensions and restoring stability in the region. The agreement includes measures to end hostilities and facilitate the reopening of the Strait of Hormuz, one of the world's most strategically important maritime routes for oil and energy shipments.

The Strait of Hormuz handles a significant portion of global crude oil exports, and any disruption in the passage has historically created uncertainty across financial markets. Although the peace framework is expected to ease concerns regarding energy supplies, investors continued to increase their exposure to precious metals as a hedge against potential volatility during the implementation phase of the agreement.

Experts believe that gold's appeal remains supported by a combination of geopolitical uncertainties, fluctuating currency markets, and expectations regarding future interest rate decisions by major central banks. The metal has traditionally served as a store of value during periods of economic and political uncertainty, attracting both institutional and retail investors.

International bullion markets also recorded gains, with spot gold prices moving higher amid increased trading volumes. Market participants are closely monitoring further developments in the Middle East, as well as upcoming economic data from major economies, which could influence the trajectory of precious metal prices in the coming weeks.

Silver, meanwhile, continues to benefit from both its status as a precious metal and its extensive industrial applications, particularly in sectors such as renewable energy, electronics, and electric vehicle manufacturing. Analysts suggest that sustained industrial demand may provide additional support to silver prices even if broader market sentiment fluctuates.

Industry observers expect precious metals to remain in focus as investors assess the implications of the US-Iran understanding, global economic growth prospects, inflation trends, and monetary policy signals from leading central banks. Any fresh geopolitical developments or changes in investor risk appetite could further influence price movements in the bullion market.

With gold approaching fresh record levels and silver maintaining strong momentum, traders anticipate heightened activity in the precious metals segment in the near term. Market participants are likely to keep a close watch on international developments and currency movements for indications of the next major trend in bullion prices.