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Amid Iran-Israel war, analysts say gold and silver prices might see support on safe-haven demand as equities may remain volatile in coming week.
Gold Price Prediction For Monday, March 2.
Gold Price Prediction For Monday, March 2: Even as the Iran-Israel war has begun with missile exchanges on February 28, risk-off sentiment is spreading across global financial markets, pushing investors toward traditional safe-haven assets. Cryptocurrencies (which is the only market open during weekends) were the first to react, with Bitcoin falling nearly 5% to slip below the $64,000 mark after news of the conflict broke. Analysts say equities could remain volatile in the coming week as geopolitical uncertainty intensifies, a backdrop that historically supports gold prices.
Gold had already shown strong momentum ahead of the weekend. In the national capital, prices jumped Rs 1,800 to Rs 1,64,700 per 10 grams on Friday, according to the All India Sarafa Association, compared with Rs 1,62,900 per 10 grams in the previous session. The surge was driven by fresh buying from jewellers and stockists as investors positioned for global uncertainty.
Also Read: Nifty Prediction For Monday: Iran-Israel War Hits Market Sentiments; Gap-Down Likely On March 2
Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities, said gold rose amid mixed global signals, “as markets weighed escalating US trade protectionism and persistent tensions in the Middle East against a steady dollar”. He added that geopolitical friction and tariff-related uncertainty continued to support safe-haven demand, although a stable dollar and reduced expectations of US Federal Reserve rate cuts capped sharper gains.
Silver, however, moved in the opposite direction domestically. The metal declined Rs 2,500, or nearly 1%, to Rs 2,68,000 per kilogram from Rs 2,70,500 per kg previously, according to the association. In global markets, spot silver gained 1.6% to USD 89.72 per ounce, while gold traded marginally lower at USD 5,172.17 per ounce.
Gold & Silver Price Prediction: Safe-Haven Demand May Strengthen
Nachiketa Sawrikar, fund manager at Artha Bharat Global Multiplier Fund, believes the geopolitical escalation could intensify flows into defensive assets like gold and silver.
“A USA and Israel attack on Iran would likely trigger broad selling of risky assets across both the developed and emerging markets. We would expect the ongoing rally in USA Treasuries, oil, gold, and silver to extend.”
Typically, this pattern is observed during geopolitical shocks, when investors reduce exposure to equities and rotate capital toward commodities like gold and silver and sovereign debt.
Bullion markets remain closed on weekends in India as well as globally.
Gold & Silver Outlook For March 2
With global markets likely to open the week reacting to war developments, gold and silver’s trajectory on Monday will largely depend on three factors: escalation or de-escalation headlines from the Middle East, movement in the US dollar, and bond-yield trends.
If tensions intensify, safe-haven demand could push bullion prices higher. However, any signs of diplomatic engagement or a sharp rise in the dollar could limit gains.
For now, the broader bias remains supportive for gold and silver, with geopolitical uncertainty reinforcing its traditional role as a hedge during periods of global instability.
Market participants are also turning their attention to key macro triggers. Investors will closely track US Producer Price Index data and commentary from Federal Open Market Committee officials, both of which could shape expectations for interest-rate policy and influence bullion’s near-term trajectory. “Speeches from several Federal Open Market Committee members will also be closely watched for further insights, which may provide fresh momentum for gold,” he said.
Iran-Israel War
The US and Israel launched a major attack on targets across Iran on Saturday, and US President Donald Trump called on the Iranian people to “take over your government” — an extraordinary appeal that suggested the allies could be seeking to end of the country’s theocracy after decades of tensions.
The first strikes of the attack appeared to target the compound home to Iran’s 86-year-old Supreme Leader Ayatollah Ali Khamenei in downtown Tehran. It wasn’t immediately clear if he was there at the time. Smoke could be seen rising from the Iranian capital.
“For 47 years, the Iranian regime has chanted Death to America and waged an unending campaign of bloodshed and mass murder, targeting the United States, our troops and the innocent people in many, many countries,” Trump said in a video posted on social media that sought to justify the attacks. He urged Iranians to take cover during the strikes, but then: “When we are finished, take over your government. It will be yours to take.” The attack quickly expanded beyond Iran. Iran’s paramilitary Revolutionary Guard said it responded by launching a “first wave” of drones and missiles targeting Israel, where a nationwide warning was issued as the military said it bring down Iranian fire.
Meanwhile, Bahrain said that a missile attack targeted the US Navy’s 5th Fleet headquarters in the island kingdom. Witnesses heard sirens and explosions in Kuwait, home to US Army Central. Explosions could be also be heard in Qatar.
Iraq and the United Arab Emirates closed their airspace, and sirens sounded in Jordan.
The Iranian-backed Houthis in Yemen, meanwhile, vowed to resume attacks on Red Sea shipping routes and on Israel, according to two senior Houthi officials. They spoke on condition of anonymity because there was no official announcement from the Houthi leadership.
(With inputs from agencies)
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February 28, 2026, 16:26 IST
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