Prices of gold and silver witnessed an increase in Delhi today. According to the All India Bullion Association, the price of silver increased by Rs 4,300 to Rs 2.57 lakh per kg. On Friday, the price of silver closed at Rs 2,53,000 per kg. Gold, which has a purity of 99.9 percent, increased by Rs 800 to Rs 1.57 per 10 grams on Monday.

However, global trends remained negative. Spot silver declined by US$1.09, or 1.35 percent, to reach US$79.71 per ounce, and gold prices fell by 0.52 percent to US$4,805.09 per ounce. Saumil Gandhi, senior analyst, commodities at HDFC Securities, stated that “gold opened the week on a weak footing, driven by geopolitical and macro factors during the weekend period.”

He further said that the situation around the Strait of Hormuz deteriorated rapidly, with Iran reimposing strict controls less than 24 hours after reopening it, while the US seized an Iranian cargo ship trying to circumvent its blockade.

Gandhi further said, "These developments have raised concerns about the sustainability of the ceasefire and increased uncertainty surrounding the US-Iran peace talks. The renewed tensions have revived concerns about higher energy prices and inflation, strengthening the dollar and putting pressure on precious metals." Meanwhile, investors are expected to closely monitor key global macroeconomic indicators this week.

Kayanat Chainwala, AVP of Commodity Research at Kotak Securities, said investors will focus their attention on global macroeconomic data, including US retail and household sales figures, weekly unemployment claims, and consumer sentiment.

PMI data from major economies will also be monitored for signs of growth. He further added that markets will also be watching the testimony of the new Federal Reserve Chairman, Kevin Warsh, to Congress on Tuesday. This could provide early clues about the policy stance and his tolerance for energy-driven inflation. "Nevertheless, the main driving factor will likely remain the escalating US-Iran standoff, and any significant escalation is likely to put additional pressure on gold prices," Chainwala said.