Precious metals experienced a significant downturn following U.S. President Donald Trump's announcement of a major escalation in the conflict with Iran. Comex gold futures plummeted by $233 per troy ounce, reaching a low of $4,580, while May silver futures fell $6.40 to settle at $69.61. In the domestic market, April gold futures on the Multi Commodity Exchange (MCX) dropped ₹6,608 per 10 grams, bringing the price down to ₹1,47,100. Similarly, May silver futures fell ₹19,001 per kilogram, closing below ₹2.25 lakh at ₹2,24,500.

Trump's speech signaled a continuation of U.S. military actions in Iran, contradicting previous expectations of a quick resolution to the conflict. His comments have raised concerns about prolonged inflation and potential interest rate hikes, which are discouraging for investors in safe-haven assets like gold and silver. The strength of the U.S. dollar, now above 100, has compounded the pressure on precious metals, making them more expensive for foreign investors. As crude oil prices remain elevated, inflation concerns are prompting speculation about the Federal Reserve's monetary policy, with Chair Jerome Powell suggesting that inflation expectations are stable despite rising energy costs.