More Stories

Informist, Monday, May 25, 2026

 

By Reshma Ravi

MUMBAI – Futures contracts of gold and silver rose on the Multi Commodity Exchange of India and COMEX Monday, recovering from the fall seen in the previous session, as market sentiment improved. Sentiment was lifted by rising hopes of a peace deal between the US and Iran, which eased crude oil prices, which in turn reduced fears about inflation.

 

At 1623 IST, the most active June contract of GOLD was up 0.4% at INR 159,320 per 10 grams on the MCX. The same-month contract on COMEX was up 1.1% at $4,570.1 per ounce. The most active July SILVER contract on the MCX was up 2% at INR 276,570 per kilogram, and the same-month contract on COMEX was up 3% at $78.52 per ounce.

 

Saturday, US President Donald Trump said an agreement had been "largely negotiated", prompting speculation that an announcement was imminent, the BBC reported. The deal under discussion reportedly involves a 60-day ceasefire extension, reopening the Strait of Hormuz, and a plan for further negotiations over Iran's nuclear programme, the BBC reported.

 

Hopes for a deal that could reopen the Strait of Hormuz pushed crude oil prices sharply down, with Brent falling more than 5%. The drop has eased concerns that higher energy costs could reignite inflation and pressure the global economy, analysts at Kedia Advisory said.

 

"If the US-Iran peace deal is announced this week, it could be a big positive trigger for both precious metals," Manoj Jain, director at Prithvi Finmart, said.

 

Meanwhile, "...central bank demand for gold remained a strong supportive factor. Goldman Sachs revised its estimate of official gold purchases sharply higher and now expects central banks to buy nearly 60 tonnes per month through 2026 amid ongoing reserve diversification," analysts at Kedia Advisory said in a note.

 

However, gains in prices could be capped by higher expectations of an interest rate hike by the US Federal Reserve. Typically, higher interest rates dim the appeal of the non-interest-bearing precious metal. "...gold prices remained nearly 13% lower since the West Asia war began, as energy-driven inflation concerns strengthened expectations of tighter global monetary policy," analysts at Kedia Advisory said in a note.

 

Moreover, "we expect gold and silver prices to remain volatile this week amid volatility in crude oil prices and the US-Iran peace deal hopes," Manoj Jain said.

 

Outlook for the rest of the session:

--MCX gold seen at INR 157,000–INR 161,000 per 10 grams

--COMEX gold seen at $4,470–$4,590 an ounce

--MCX silver seen at INR 265,000-INR 277,000 per kg

--COMEX silver seen at $72.00-$80.00 an ounce

 

End

 

US$1 = INR 95.23

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Rajeev Pai

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000 

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.