Gold, silver rates today: Gold and remained a little unchanged on Tuesday, March 17, after the US dollar weakened, while traders assessed efforts to contain a potential oil supply shock triggered by the conflict in the Middle East.
Spot was trading marginally higher at $5,008 per ounce; meanwhile, spot silver prices were down 0.21% to $80.5 per ounce during the Asian trading hours on Tuesday.
What’s driving gold and silver prices today?
The bullions remained unchanged after oil prices edged higher after declining on Monday as investors weighed the release of emergency reserves against escalating threats to energy infrastructure, while a gauge of the US dollar slipped 0.6%. Donald Trump urged other countries to help secure the Strait of Hormuz, where crude shipments have nearly stalled, according to a Bloomberg report.
The conflict involving the US, Israel, and Iran has now entered its third week. Tehran carried out attacks across the Persian Gulf on Monday, targeting key locations including a major oil hub and a significant gas field in the United Arab Emirates. Meanwhile, Trump warned of expanding strikes on Kharg Island to include critical oil infrastructure.
As the conflict continues, concerns over rising inflation have intensified, reducing expectations that the Federal Reserve will cut interest rates soon. Traders, as quoted by Bloomberg, now see almost no likelihood of a rate cut at this week’s Fed meeting, which will be held on March 17-18.
Is it the right time to buy gold or silver?
According to Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, traded weak below the $5,000 mark, slipping around 0.80% to $4,975, as rising crude oil prices are pushing inflation expectations higher and reducing the likelihood of early interest rate cuts.
Meanwhile, on the technical outlook of gold prices, Ponmudi R, CEO of Enrich Money, said that after recently touching record highs, gold has entered a short-term corrective phase, though the broader bullish structure remains intact. Range-bound consolidation has pushed prices below key moving averages in the short term, signaling temporary weakening momentum.
“COMEX Gold is currently trading within the $4,960–$5,040 support band. Strong buying interest remains visible in the $4,950–$5,000 support zone. A break below this band could push prices toward the $4,850–$4,900 region. However, as long as gold sustains above $5,000, the broader bullish trend remains intact. A sustained breakout above $5,130–$5,200 could pave the way toward previous record highs,” Ponmudi said.
On the silver prices outlook, he added that although the broader bullish structure remains intact, the recent corrective phase has pushed prices below key moving averages.
“COMEX Silver is currently trading around the $77–$82 range after recovering from recent lows. Strong buying interest remains visible in the $70–$74 support zone. A sustained move above $88 could reignite bullish momentum toward $95–$100 and potentially retest previous highs. Despite short-term volatility, the medium-to-long-term outlook remains constructive, supported by safe-haven demand amid global uncertainties,” Ponmudi opined.
(With inputs from Bloomberg)
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.