Global Market Round Up on Commodities by HDFC Securities March, 02 2026

Gold and Silver Price

Gold price surged more than 1% to trade above $5,350 per ounce on Monday, marking a one-month high as safe haven demand intensified following joint U.S. and Israeli strikes on Iran over the weekend that reportedly resulted in the death of Iran’s Supreme Leader, Ayatollah Ali Khamenei. In retaliation, Iran launched attacks on U.S. assets across several neighboring countries, including the United Arab Emirates, Bahrain, Kuwait, Qatar, Saudi Arabia, Jordan, Iraq, and Syria. The escalation sharply increased geopolitical risk across the region, prompting investors to seek protection in traditional safe-haven assets. Gold and silver, in particular, tend to respond swiftly to such developments, as geopolitical shocks often trigger immediate defensive positioning. In the short term, bullion prices typically spike on breaking headlines as investors rush to hedge risk and reduce exposure to volatile assets. However, once the initial wave of fear subsides, markets are likely to stabilize.

Crude Oil Price

Crude oil prices surged more than 5% on Monday, climbing to their highest level in eight months after unprecedented U.S. and Israeli strikes on Iran sharply escalated Middle East tensions. The developments intensified concerns about potential disruptions to global energy supplies, particularly as the region remains central to world crude exports. Markets are closely watching the Strait of Hormuz, a critical chokepoint through which roughly one-fifth of global oil shipments—and significant volumes of natural gas—pass. Any long-term threat to transit flows through the strait would have immediate and far-reaching implications for global supply, keeping a sizable geopolitical risk premium embedded in prices. At the same time, OPEC+ members agreed over the weekend to a larger-than-expected production increase, a move seen as an effort to stabilize markets in the wake of escalating tensions. However, despite the additional supply, crude remains highly sensitive to geopolitical headlines. Overall, oil prices are likely to stay volatile in the near term, caught between elevated geopolitical risks and underlying concerns about softer demand fundamentals.

Natural Gas Price

Natural gas opened higher on Monday as escalating tensions in the Middle East raised concerns about potential disruptions to global LNG supplies. U.S. export flows remain near record levels, supported by strong overseas demand and tighter global supply conditions. The prospect of supply interruptions from key producing regions has further underpinned LNG markets, providing additional support to natural gas prices at the start of the week.