Gold, silver rates today: Gold and silver prices rebounded on Wednesday, April 22, breaking a two-day losing streak by rising up to 1.8%, after Donald Trump extended the ceasefire with Iran, even as hopes for a fresh round of peace talks collapsed.
COMEX gold rate today surged nearly 1% to $4,768 per ounce, after falling more than 2% in the previous session. Meanwhile, the COMEX silver rate today retreated 1.8% to $77.80 per ounce during the Asian trading hours on Wednesday.
Gold has fallen by more than 10% since the start of the US–Iran war, although it has been moving within a relatively narrow range in recent weeks. In contrast, silver has declined more sharply, dropping nearly 17% over the same period.
Why are gold and silver prices rising today?
Donald Trump said he would delay any further strikes until Iran presents a fresh proposal and talks are brought to a close “one way or another.” At the same time, the Strait of Hormuz remains shut to shipping, with Iran stating it will not reopen the crucial route as long as the US continues its blockade on vessels linked to the Islamic Republic.
Oil prices held on to their gains on Wednesday, while the US dollar index rose 0.4% in the previous session, weighing on gold, which is priced in dollars. Now in its eighth week, the conflict has caused an unprecedented disruption to energy supplies, raising inflation concerns and increasing the likelihood that central banks will keep interest rates elevated or even hike them further — a negative factor for non-yielding assets like bullion.
Bullions also came under pressure after Kevin Warsh pledged to act independently if confirmed as the next Federal Reserve chair, according to a Bloomberg report.
Speaking before the Senate Banking Committee on Tuesday, Donald Trump’s nominee to head the US central bank, was quoted as saying by Bloomberg, that a new framework would be required to tackle persistent inflation, though he did not provide detailed specifics.
Market participants believe Warsh, who is known for his hawkish views on inflation, is likely to adopt a cautious approach to reducing borrowing costs, rather than implementing the sharper rate cuts advocated by Trump, the report said.
Gold and silver prices outlook
According to Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, Gold remained largely range-bound, as market participants stayed on the sidelines awaiting clarity on US–Iran talks.
“Uncertainty around whether talks will proceed, fail, or get delayed has kept trading activity subdued, with investors avoiding aggressive positions. This wait-and-watch approach has been visible globally, with gold stuck in a tight range as geopolitical headlines dominate direction.
At the same time, mixed signals—ranging from ceasefire hopes to rising tensions and oil volatility—are preventing any decisive move in gold. A breakout from this range is likely once there is clear direction on geopolitical developments, with volatility expected to rise sharply,” Trivedi said.
Meanwhile, Renisha Chainani, Head – Research at Augmont, believes that gold and silver prices are consolidating as investors assess the possibility of US-Iran diplomatic talks and the uncertain future of the current ceasefire.
On the technical outlook of the gold prices, Chainani said that Gold is trading in the range of $4750and $4850 from past few days. Either side breakout or breakdown will give 3-4% directional move.
On the silver prices outlook, Chainani added that the white metal is trading in the range of $78 and $81 from past few days. Either side breakout or breakdown from this band will give 3-4% price swing.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
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