Silver prices experienced a dramatic turnaround on June 15, with MCX Silver July Futures rising ₹6,066 or 2.46% to ₹2.52 lakh per kg as US-Iran tensions eased significantly. According to CNBC TV18, the surge came after US President Donald Trump confirmed that a peace deal with Iran has been reached and the Strait of Hormuz will reopen, marking an end to the four-month long conflict. MCX Gold July Futures also jumped 1.66% or ₹2,466 to ₹1.51 lakh per 10 grams, reflecting broader precious metals strength amid the geopolitical developments. The rebound represents a significant recovery from the previous week when silver had fallen ₹2,351 or nearly 1% to ₹2.46 lakh per kg. As per CNBC TV18, the contract recorded a turnover of 11,420 lots, indicating strong trading activity during the session.
The latest surge in silver prices comes as US President Donald Trump confirmed that the peace deal with Iran has been reached and the Strait of Hormuz will reopen, marking an end to the four-month long conflict. As reported by CNBC TV18, Trump announced on Truth Social that "The deal with the Islamic Republic of Iran is now complete" and had authorized the reopening of the Strait of Hormuz and immediate removal of the US naval blockade. This development has significantly eased geopolitical tensions that had been disrupting energy flows from the Persian Gulf and fueling inflation concerns. Silver had previously recovered after the US military declared it had completed its latest strikes against Iran, raising hopes of peace and ceasefire negotiations. According to CNBC TV18, the recovery in bullion was driven by easing geopolitical tensions following a US–Iran framework agreement, which reduced concerns over energy supply disruptions and pulled crude oil lower, easing inflation expectations.
International silver markets showed strong performance alongside domestic gains. According to CNBC TV18, Comex silver futures for July contract rose 3.53% to $70.37 per ounce in New York trading, while Comex gold futures gained 2.15% to $4,329.84 per ounce. The metal had declined nearly 2% the previous week to close at $67.97 per ounce. Renisha Chainani, Head of Research at Augmont, noted that "Silver staged a recovery at the start of this week after US and Iranian officials announced they had reached an initial agreement to end their conflict." Market participants said bullion prices were supported by softer crude oil, which reduced inflationary pressure, and expectations that major central banks, including the US Federal Reserve, may maintain current interest rates in the near term. As per CNBC TV18, the accord immediately eased pressure on oil prices and dialled back concerns over persistent inflation and further rate increases.
Market analysts provided insights into the current precious metals rally, with experts highlighting the fundamental drivers behind the surge. Rajkumar Subramanian, Head – Product & Family Office at PL Wealth, explained that "gold's strength is being driven largely by macro-liquidity shifts and dollar weakness following the US–Iran framework agreement, which has pushed crude oil to a two-month low and eased inflation concerns." Prithviraj Kothari, Managing Director at RiddiSiddhi Bullions Ltd and President of India Bullion and Jewellers Association Ltd, added that "precious metals have recovered after recent volatility driven by inflation and rate expectations, with easing crude oil prices and a softer dollar supporting sentiment." Ravi Singh, Chief Research Officer at Master Capital Services, noted that MCX gold continues to hold key support levels, indicating buying interest at lower zones, though a break below support could trigger renewed weakness. The experts emphasized that the weaker US dollar also supported demand for dollar-denominated metals, making precious metals more attractive to international investors.
