Geopolitical Tensions Impact Gold and Silver Markets

Gold prices declined in India's national capital while silver gained, influenced by geopolitical events including Syria's unrest and a leadership crisis in South Korea. Market activity on MCX showed volatility, and analysts expect further shifts with China's policy announcements altering demand outlook for precious metals.

Gold prices fell by Rs 190 to Rs 78,960 per 10 grams in India's national capital on Monday, the All India Sarafa Association reported. In contrast, silver's value increased, rising by Rs 350 to Rs 93,850 per kg in the same market.

Global geopolitical tensions, such as political instability in Syria and South Korea, have affected commodity prices. Gold contracts for February delivery surged in futures trade on the MCX by Rs 410, reflecting the renewed safe-haven demand amid uncertainty.

Investors are keenly watching China, anticipating a major policy announcement that could influence market sentiment. The U.S. CPI data, due Wednesday, is expected to further impact bullion pricing strategies, according to experts.

(With inputs from agencies.)