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Gold, Silver Soar as US-Venezuela Tensions Trigger Safe-Haven Rush

Gold and silver prices rallied sharply as heightened geopolitical tensions between the US and Venezuela drove investors towards safe-haven assets. The surge followed a US military operation that captured Venezuelan President Nicolás Maduro, triggering global uncertainty. On the MCX, gold futures climbed over Rs 2,000 per 10 grams, while silver futures skyrocketed by Rs 13,584 per kilogram. US President Donald Trump stated Washington would oversee Venezuela until a political transition is complete, further fueling market anxiety.

Key Points: Gold, Silver Prices Rally on US-Venezuela Geopolitical Tensions

  • Gold futures jump Rs 2,439
  • Silver surges Rs 13,584/kg
  • US military action in Venezuela
  • Safe-haven demand spikes
  • Platinum, palladium also gain
2 min read

Gold, silver rally as US-Venezuela tensions spark safe-haven buying

Gold and silver prices surge as US military action in Venezuela sparks safe-haven buying. MCX gold jumps over Rs 2,000; silver soars Rs 13,584.

"US President Donald Trump said on Saturday that Washington would 'run' Venezuela until a political transition is completed. - Donald Trump"

New Delhi, Jan 5

Gold and silver prices started the week on a strong note on Monday as rising global tensions pushed investors towards safe-haven assets.

Precious metals witnessed sharp gains after a US military operation in Venezuela over the weekend added fresh uncertainty to the global geopolitical landscape.

On the Multi Commodity Exchange (MCX), February gold futures opened higher at Rs 1,36,300 per 10 grams, compared to the previous close of Rs 1,36,761.

Prices continued to climb during the session and touched an intra-day high of Rs 1,38,200, marking a jump of Rs 2,439.

By 8:45 PM, MCX gold was trading Rs 2,037, or 1.50 per cent, higher at Rs 1,37,798 per 10 grams. In the international market, spot gold prices rose 2.3 per cent to $4,425 per ounce.

Silver prices also surged sharply after ending Friday's session on a subdued note. The March silver futures contract on MCX jumped by Rs 13,584 per kilogram to hit a day's high of Rs 2,49,900, up from the previous close of Rs 2,35,873.

Other precious metals also saw strong buying interest, with platinum gaining 5.3 per cent and palladium rising 5 per cent. The rally in precious metals was largely driven by heightened geopolitical tensions between the US and Venezuela.

Over the weekend, US forces carried out a military operation in Venezuela and captured President Nicolás Maduro and his wife. They were reportedly taken to New York and charged with narco-terrorism conspiracy and other criminal offences.

Despite Venezuela's weak economy and ongoing struggles with hyperinflation, the military action has triggered broader global concerns, boosting demand for safe-haven assets like gold and silver. Venezuela holds some of the world's largest crude oil reserves, making the situation geopolitically significant.

US President Donald Trump said on Saturday that Washington would "run" Venezuela until a political transition is completed. His remarks came just hours after US forces bombed the South American nation.

Trump also stated that American oil companies would invest billions of dollars to repair Venezuela's damaged oil infrastructure and extract vast amounts of oil wealth.

- IANS

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Reader Comments

R
Rohit P
The US just invades another country and captures its leader? This sets a dangerous precedent. No wonder people are rushing to buy gold. Our own RBI has been steadily increasing gold reserves too. Smart move.
A
Aditya G
While the gold rally is good news for investors, let's not forget the human cost. Venezuela's people have suffered enough with hyperinflation, and now this military action. The focus on oil wealth is telling.
S
Sarah B
Watching from abroad, this feels like a major escalation. The jump in silver is even more dramatic than gold. Might be a good time to diversify the portfolio with some precious metals, even in small amounts.
K
Karthik V
Bhai, ₹13,584 jump in silver per kg! That's insane. My cousin was just talking about buying silver for his daughter's wedding next year. Prices are going to pinch the middle class even more now.
M
Michael C
As an investor, I have to respectfully disagree with some of the bullish sentiment here. This is a classic fear-driven spike. Once the initial shock wears off, prices could correct sharply. Buy carefully.

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