Will gold and silver prices rise again after the US-Israel-Iran war? Here's what SBI Research says Gold and silver prices have declined sharply amid the ongoing conflict between the US, Israel, and Iran, despite expectations that geopolitical tensions would drive demand for safe-haven assets. According to SBI Research, the precious metals may experience a "smart recovery" once the conflict subsides, though current trends show a significant drop in prices. The India Bullion and Jewellers Association (IBJA) reported that the price of 10-gram 24-carat gold fell 10.37% in seven days, dropping from ₹1,55,714 on March 16 to ₹1,39,569 on March 23, 2026. Silver prices also declined by 11.24%, falling from ₹2,48,711 per kg on March 16 to ₹2,19,260 on March 23. This decline contrasts with historical patterns where gold and silver often rise during periods of geopolitical instability. The drop in prices is attributed to a combination of factors, including the strengthening of the US dollar (USD) and reduced investor demand. A stronger USD typically diminishes the appeal of commodities priced in dollars, including gold and silver. During the conflict, the USD reached a record high, which has pressured the prices of these metals. SBI Research noted that the conflict has led to heavy sell-offs by investors, with the USD's dominance exacerbating the decline. The report highlighted that while geopolitical tensions often boost demand for gold and silver, the current situation has been marked by a "sudden assault" from the conflict and uncertainty over industrial demand. Despite the recent downturn, the report suggests that the market could rebound once the conflict concludes. SBI Research predicts that countries may need to inject liquidity to revive economic activity, which could boost demand for gold and silver.#us #iran #israel #sbi_research #ibja
