Gold and Silver Prices Rose Higher: Check Key Factors Behind the Surge

On Monday, February 23, 2026, gold and silver prices moved higher as investors flocked to safe-haven assets amid renewed uncertainty over US trade policy and persistent geopolitical tensions. In international markets, gold advanced 0.8% to $5,143 per ounce, while silver gained 2% to $86.24 per ounce, extending the previous session’s sharp rally of nearly 8%.

In the domestic market, MCX gold traded in the ₹1.5–1.6 lakh per 10 grams range during the week ended February 20. If risk aversion persists, prices may test ₹1.61 lakh per 10 grams in the near term.

Jewellery Demand Faces Volatility Impact

Heightened swings in bullion prices are also shaping consumer behaviour in the jewellery segment, with buyers reassessing purchases amid elevated price volatility.

Tariff Confusion Weighs on Sentiment

Global financial markets turned cautious following fresh developments on US tariffs. After the Supreme Court turned down former President Donald Trump’s emergency tariffs, the administration introduced a new 10% tariff on imports from the rest of the world, later signalling the possibility of an increase to 15%. The evolving stance on scope and timing has created uncertainty, prompting investors to seek refuge in precious metals.

Mixed US Data Clouds Rate Outlook

Investors are also digesting conflicting economic signals from the United States. While economic growth in the December quarter undershot expectations, core inflation came in stronger than forecast. Consequently, expectations of a June rate cut by the Federal Reserve have softened, with market-implied probabilities slipping to around 52%, compared with over 60% a week earlier.

Also Read: India Reports Strong Progress Under PLI Scheme With ₹1.91 Lakh Crore Incentive Outlay

Key Data in Focus

Market participants are now awaiting crucial economic releases, including the US Producer Price Index, housing data, consumer confidence readings and weekly jobless claims, as well as the People’s Bank of China’s lending rate decision. These indicators are expected to provide further direction for precious metals.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

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