Geopolitical Tensions Propel Precious Metals into Moderate Bullish Trend
Domestic precious metals markets enter fiscal 2026-27 with a cautiously optimistic outlook. Analysts point to geopolitical tensions, trade war fears and recession risk as reasons for a moderate bullish trend.
Fiscal 2026 performance
Silver futures posted an extraordinary gain of 142.2 percent during fiscal 2026. Prices rose from Rs 99,461 per kilogram to Rs 1,41,431 per kilogram.
Gold advanced about 67 percent over the same year. The metal climbed from roughly Rs 90,503 per 10 grams to near Rs 1,50,761 per 10 grams.
Markets experienced corrections toward the end of the fiscal year. Profit-taking trimmed some of the earlier gains.
| Metal | Start Price | End Price | Change |
|---|---|---|---|
| Silver (per kg) | Rs 99,461 | Rs 1,41,431 | +142.2% |
| Gold (per 10 g) | Rs 90,503 | Rs 1,50,761 | +67% |
What drove the rally
Safe-haven buying increased amid geopolitical tensions and trade-war concerns. Growing recession risks also boosted investor interest in bullion.
Central bank purchases added further support to prices. Aamir Makda, a Commodity and Currency Analyst, warned that higher interest rates could limit gains.
Silver’s exceptional run reflected supply deficits and rising industrial demand. Those factors helped silver outperform other metals during the year.
Outlook for 2026-27
Analysts expect prices to stay resilient through fiscal 2026-27. Persistent geopolitical and economic uncertainty will underpin demand for precious metals.
However, tightening monetary policy and stronger yields could constrain further upside. Markets will monitor central bank actions closely.
With inputs from agencies. This report is published by Filmogaz.com.
