gold prices plunge rs 12489 silver rates crash rs 40000 sona chandi melt amidst flames of iran war Gold and silver prices have experienced significant declines amid escalating tensions between Iran and Israel, with gold falling to ₹12,489 per 10 grams and silver dropping to ₹40,000 per kilogram. Analysts and market observers are puzzled by the sharp reversal in precious metal prices, as the conflict has not triggered the usual surge in demand for safe-haven assets. The market’s reaction has been contrary to historical patterns, where geopolitical crises typically drive up demand for gold and silver. The price drop began after the Iran-Israel conflict intensified in late February 2026. On February 27, gold was trading at ₹159,097 per 10 grams, while silver was at ₹267,900 per kilogram. However, by March 1, the conflict had already caused a dramatic reversal. Gold prices plummeted to ₹12,489 per 10 grams, and silver fell to ₹40,000 per kilogram. This sharp decline has left many analysts baffled, as the usual safe-haven demand for precious metals during geopolitical crises has not materialized. Peter McGaur, CEO of Australia-Tradings.com, noted that the market’s reaction has been unprecedented. He highlighted that gold, which had previously risen to near $5,400, experienced a steep drop, falling to $4,720. Silver, which had reached $121, also declined to $73. McGaur attributed the decline to a combination of factors, including rising U.S. bond yields and shifting investor sentiment. The U.S. 10-year Treasury bond yield surged to nearly 4.36%, prompting investors to seek higher returns in fixed-income assets rather than precious metals. Additionally, the energy and commodities markets saw significant activity, with traders redirecting capital to oil and gas futures, further reducing demand for gold and silver.#iran #israel #gold_prices #peter_mcgaur #us_treasury_bond
