War impact on markets: Gold, silver, and the dollar start the week with gains

Gold and silver prices moved upward following military developments involving Israel, the US, and Iran. As gold approaches a historic peak, the dollar also maintains its strong momentum.

GEOPOLITICAL TENSION INCREASES DEMAND FOR SAFE HAVENS

Gold prices gained approximately 2 percent, rising above 5 thousand 393 dollars per ounce. With this, spot gold reached its highest level in over a month. The rise was driven by increased safe-haven demand following the weekend attacks by the US and Israel on Iran.

These attacks resulted in the death of Iran's supreme leader, Ayatollah Ali Khamenei. This development raised regional tensions and also led to disruptions in maritime traffic in the oil-rich Gulf region.

RETALIATION FROM THE REGION

Iran carried out retaliatory attacks targeting US assets in neighboring countries, primarily in the United Arab Emirates, Bahrain, Kuwait, Qatar, Saudi Arabia, Jordan, Iraq, and Syria. These reciprocal steps have heightened concerns that the conflict could spread to a wider area.

LONG-TERM RISE IN GOLD

Gold recorded its seventh consecutive monthly gain in February, marking its longest winning streak since 1973. In addition to geopolitical risks, strong purchases by central banks and investors moving away from bonds and currencies have also been factors supporting prices.

SPOT GOLD INTRADAY MOVEMENTS

Spot gold started the day at 5 thousand 312 dollars. During the day, it saw a low of 5 thousand 303 dollars and a high of 5 thousand 393 dollars. Trading continues around 5 thousand 361 dollars.

GRAM GOLD APPROACHES RECORD

Gram gold started the day at 7 thousand 442 liras. During the day, it tested a low of 7 thousand 439 liras and a peak of 7 thousand 623 liras. Gram gold is currently trading at 7 thousand 580 liras.

It remains about 3 percent away from reaching the historic record of 7 thousand 810 liras set on January 29, 2026.

UPWARD TREND IN SILVER

Developments in the Middle East have also pushed silver prices higher. Although more limited compared to gold, the rise in silver is also noteworthy.

VOLATILE DAY FOR SPOT SILVER

Spot silver started the day at 95.06 dollars. During the day, it saw a low of 92.04 dollars and a high of 96.41 dollars. Prices are currently at the 93.51 dollar level.

LATEST STATUS IN GRAM SILVER

Gram silver started the day at 134.02 liras. During the day, it saw a low of 129.76 liras and a high of 135.91 liras. Gram silver is finding buyers at 132.08 liras.

DOLLAR INDEX REMAINS STRONG

The dollar index rose by up to 0.5 percent to reach the 98 level as investors turned to safe-haven assets amid the growing war environment, before giving back some of its gains.

The military moves by the US and Israel against Iran and the de facto closure of the Strait of Hormuz have increased risk perception in the markets. Iran's retaliatory attacks have strengthened concerns that the conflict could escalate.

INTEREST RATE EXPECTATIONS MONITORED

Data released on Friday revealed that producer prices in the US rose more than expected in January. While this indicates that companies are passing tariff costs on to consumers, it has strengthened expectations that the Fed may act more cautiously regarding interest rate cuts.

Despite this, markets continue to price in the possibility of two 25-basis-point interest rate cuts within the year.

CURRENT DOLLAR/TL LEVELS

The dollar started the day at 43.9838 liras. During the day, it saw a low of 43.9200 liras and a high of 43.9838 liras. The dollar/TL is currently trading at the 43.9641 level.

News Source: 12punto