On the COMEX, gold futures were last seen at $4,750 per ounce, down $2.80 or 0.06%. Silver futures fell $0.301 or 0.39% to $77.66 per ounce.
The muted movement in precious metals came amid a risk-on sentiment across global equities. Asian markets rallied, tracking overnight gains on Wall Street after US President Donald Trump extended the ceasefire with Iran, easing immediate fears of escalation. Benchmark indices in Japan and South Korea touched record intraday highs, reflecting improved investor appetite for risk assets.
However, underlying geopolitical risks remain unresolved. Continued tensions around the Strait of Hormuz and the lack of fresh peace talks between the US and Iran have kept energy markets volatile, with oil prices holding firm. This has prevented a sharper correction in gold, which typically benefits from uncertainty and inflation concerns.
Market participants said gold continues to draw support from its role as a hedge against geopolitical risks and inflation, alongside sustained central bank buying, particularly from Asian economies. At the same time, elevated but stabilising real yields have limited the metal’s upside momentum.
Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities, said that mixed geopolitical signals are driving short-term fluctuations across asset classes. “Market focus is now shifting towards the US Federal Reserve policy due on April 29, which will be a key trigger for direction.Gold is expected to remain volatile and range-bound.”
Analysts also highlighted a divergence in the outlook for gold and silver. While gold remains a defensive allocation in uncertain conditions, silver is being seen as a higher-beta play on global growth.
According to Ruchit Thakur, Market Analyst at VT Markets, silver’s dual role as both a precious and industrial metal positions it favourably in a stabilising economic environment. Demand from sectors such as solar energy, electronics and electric vehicles continues to underpin its fundamentals.
With the gold-to-silver ratio still elevated, analysts see scope for mean reversion, which could support relative outperformance in silver over the medium term. Historically, silver tends to outperform gold in late-cycle phases when growth stabilises but uncertainties linger.
Overall, while the extension of the ceasefire has reduced immediate safe-haven demand, persistent geopolitical risks, firm oil prices and upcoming central bank decisions are expected to keep both gold and silver volatile in the near term.
–With agencies inputs
