Global gold and silver prices rebounded on Tuesday after a two-day decline, rising up to 2 per cent amid easing concerns over inflation, following signs of a potential diplomatic resolution to the ongoing US-Iran conflict.
In the international market, COMEX gold rose as much as 0.74 per cent, or $35.4, to hit an intra-day high of $4,802.80 at 9:30 am (local time), recovering most of the losses seen in the previous two sessions.
Similarly, COMEX silver gained 2 per cent to trade at $77.16 per ounce, hitting an intra-day high.
The recovery in bullion prices came even as geopolitical tensions remained elevated.
Earlier, the US had initiated a naval blockade of the Strait of Hormuz. President Donald Trump said Iranian officials had reached out to his administration, signalling willingness to negotiate a deal.
According to reports, Iranian President Masoud Pezeshkian indicated that Tehran remains open to continuing peace talks within the framework of international law.
Meanwhile, global crude oil prices slipped below the $100 per barrel mark, while equities advanced.
Brent crude futures on Tuesday traded at $96.6 per barrel, down 2.77 per cent, while US WTI crude fell more than 3 per cent to $95.69.
Wall Street witnessed strong gains, with both the major indices -- the S&P 500 and the Nasdaq -- ending more than 1 per cent higher. In Asian markets, Japan's Nikkei, Hong Kong's Hang Seng and South Korea's KOSPI rose as much as 2.6 per cent, 1.3 per cent and 3.5 per cent, respectively.
However, analysts remain cautious as the US blockade of the Strait of Hormuz continues to raise fears of supply disruptions and broader economic stress.
The Multi Commodity Exchange (MCX) remained closed on Tuesday in the morning session and will resume trading in the evening session between 5 pm and 11:30 pm.
Moreover, domestic stock exchanges -- the BSE and the NSE -- are closed on the account of Dr B.R. Ambedkar Jayanti.
(With inputs from IANS)
