Iran is being continuously attacked by America and Israel. In response to this, Iran is also showing its strength through drone attacks. It has been about 12 days since the war started. But this time an interesting thing is being seen. At the time of such crisis, there is usually a sharp rise in the prices of gold and silver, but this is not happening during the Iran war. Usually, whenever a major war or geopolitical tension increases, investors buy gold in search of safe investment, due to which its price increases. But at present there is a reverse decline in the prices of gold and silver.
Why aren’t gold and silver shining?
When the war with Iran started on February 28, gold was trading at the level of $ 5416 per ounce in the international market. But despite the huge tension in the Middle East, its price fell to around $ 5108 per ounce. If we talk about prices in India, on February 28, gold on Multi Commodity Exchange of India (MCX) was around Rs 1.67 lakh per 10 grams, which has now come down to around Rs 1.59 lakh. Similarly, a decline has been seen in the prices of silver. On February 28, silver on MCX was at around Rs 2.89 lakh per kg, which fell to around Rs 2.62 lakh per kg by March 13.
What do experts say?
According to market experts, the biggest reason for the slowdown in gold and silver prices despite the war is the strength in the US Dollar Index. When the dollar strengthens in the international market, buying gold becomes expensive. This temporarily reduces the demand for gold and silver. That is, it can be clearly said that despite the war, the prices of crude oil and the strong US dollar have kept the shine of gold and silver in check for the time being.
