middle east tensions and macro data to set the tone
Pranab Mer, vice president, EBG – Commodity and Currency Research at JM Financial Services Ltd, told PTI that geopolitical developments will remain at the center of market sentiment.“In the coming week, the focus will be on developments in the Middle East – any signs of growth or contraction could drive financial markets down or up,” Meir said.He said investors will also keep an eye on key US indicators including manufacturing PMI data from major economies, CPI readings from Germany and the Eurozone, as well as consumer confidence, non-farm payrolls and broader employment data due later in the week.Trading volumes may also remain low as domestic commodity markets will remain closed for Shri Mahavir Jayanti on March 31 and Good Friday on April 3, resulting in a shortened trading week.
Gold slips in domestic market, silver rises
In the domestic market, gold futures closed marginally lower at Rs 1.44 lakh per 10 grams last week, while silver rose by Rs 1,182, or 0.52 per cent, to close at Rs 2.27 lakh per kg on the Multi Commodity Exchange.Mer said that domestic bullion continued to be supported by the weakness of the rupee against the dollar.He said, “Continued weakness in the Indian rupee against the dollar is supporting the bullion prices in the domestic market. Last week, the rupee had fallen by more than 1 per cent and closed near 94.80.”He also said that the recent decline in bullion was driven by ETF liquidations, soft physical demand, strong dollar and rise in US Treasury yields.
Global gold fell nearly 2%; surge in silver
In international markets, gold fell nearly 2 per cent to close at $4,492.5 an ounce, while silver rose to $69.79 an ounce by the end of the week.Choice Broking said silver witnessed a notable weekly recovery after a prolonged period of weakness, given the sharp rise in global prices.“After a prolonged period of decline, silver posted a strong weekly recovery, tracking gains in global markets where prices bounced back sharply.”“Weakness in US equity markets boosted safe-haven demand, although gold’s traditional appeal showed signs of softening amid rising Treasury yields and higher oil prices,” Choice Broking said.Geopolitical tensions remain a key driver, with the worsening conflict in the Middle East adding to bullion price volatility, analysts told PTI.He said although there was temporary relief after US President Donald Trump hinted at a 10-day moratorium on attacks on Iran’s energy infrastructure, the dollar index remained near 100, limiting gains in the precious metal.For the week ahead, Choice Broking said gold is likely to remain bullish during the short Easter week as traders assess key US economic data.Meanwhile, silver is also being supported by strong Chinese physical demand. China’s silver imports in the first two months of 2026 reached an eight-year high of 206.76 metric tons, up 49 percent month-on-month and a sharp increase of 5,910 percent year-on-year, leading to a reduction in global supply and lending support to prices.