Gold prices in India are trading near record levels on February 28 as rising geopolitical tensions between the United States and Iran fuel fresh safe-haven demand across global markets. With reports of military escalation over the weekend, bullion traders expect heightened volatility when domestic commodity markets reopen on Monday.
Safe-Haven Rush May Lift Gold Further
Gold and silver traditionally benefit during geopolitical crises, as investors move away from equities and riskier assets. The latest developments in the Middle East have triggered a broader “risk-off” sentiment globally, with cryptocurrencies and equities reacting sharply. Analysts say this could translate into higher bullion prices in India at the start of the week.
On the Multi Commodity Exchange (MCX), gold futures for April delivery were trading around ₹1,60,399 per 10 grams, while silver futures hovered near ₹2,67,600 per kilogram ahead of the weekend close. In the physical market, gold in the national capital recently surged to ₹1,64,700 per 10 grams, reflecting strong buying interest.
Market experts suggest that if tensions escalate further, gold could see a gap-up opening on March 2. However, gains may be capped if the US dollar strengthens sharply or if diplomatic efforts reduce geopolitical risks.
Gold Rate Today in Major Indian Cities (Feb 28)
Here are the latest retail gold prices across key cities:
24-Carat Gold (Per 10 Grams)
-
Delhi – ₹1,61,710
-
Noida – ₹1,61,900
-
Mumbai – ₹1,61,580
-
Chennai – ₹1,62,540
-
Kolkata – ₹1,61,580
-
Bengaluru – ₹1,61,580
22-Carat Gold (Per 10 Grams)
-
Delhi – ₹1,48,240
-
Mumbai – ₹1,48,110
-
Chennai – ₹1,48,990
-
Kolkata – ₹1,48,110
18-Carat Gold (Per 10 Grams)
-
Delhi – ₹1,21,320
-
Mumbai – ₹1,21,190
-
Chennai – ₹1,27,490
(Prices may vary slightly due to local taxes, GST, and jeweller premiums.)
Silver Price Today in India
-
Silver (per gram) – ₹284.90
-
Silver (per kilogram) – ₹2,84,900
Silver remains volatile, supported not only by safe-haven buying but also by its industrial demand in sectors like renewable energy and electronics.
What Could Happen on March 2?
Three key factors will determine gold and silver prices when markets reopen:
-
Further escalation or de-escalation in the US–Iran conflict
-
Movement in the US dollar and bond yields
-
Upcoming US economic data and Federal Reserve commentary
Historically, geopolitical conflicts add a risk premium to bullion prices. If uncertainty persists, gold could extend its rally in India. However, any sign of diplomatic progress or a sharp rise in the dollar may trigger short-term profit booking.
For buyers planning jewellery purchases or investments, experts advise closely tracking global cues and checking city-wise rates before making decisions, as volatility is expected to remain high in the coming week.
Sofia Babu Chacko is a journalist with over five years of experience covering Indian politics, crime, human rights, gender issues, and stories about marginalized communities. She believes that every voice matters, and journalism has a vital role to play in amplifying those voices. Sofia is committed to creating impact and shedding light on stories that truly matter. Beyond her work in the newsroom, she is also a music enthusiast who enjoys singing.
