New Delhi, Jan 23 (IANS) Gold and silver prices surged to record highs on Friday, as the US dollar weakened and geopolitical tensions surged over threats of US intervention in Iran.

MCX gold February futures rose 1.23 per cent to Rs 1,58,261 per 10 grams around 11.25 am. Meanwhile MCX silver March futures rose 2.63 per cent to Rs 3,35,900 per kg.

International markets also saw gold trading near historic highs, holding firm around the $4,951 zone after marking a fresh record at $4,967.

The prior resistance band of $4,900–$4,940 turned into a support zone, an analyst said, adding, the broader outlook remains firmly bullish due to steady central-bank accumulation and expectations of accommodative global liquidity.

COMEX silver surged to fresh all-time highs near $98.92 and consolidated around $98.30–$98.70 after mild profit booking.

US President Donald Trump said that the United States has an “armada” heading toward Iran but hoped he would not have to use it. Trump reiterated his warnings to Tehran against restarting its nuclear programme.

US’ aircraft carrier USS Abraham Lincoln and several guided-missile destroyers will arrive in the Middle East in the coming days, according to reports, citing sources.

The precious metals rebounded in the previous session amid signals that some European nations may reduce exposure to US Treasuries.

“Gold has support at Rs 1,54,650-Rs 1,52,310 zone while resistance at Rs 1,58,850- Rs 1,60,150. Silver has support at Rs 3,20,810 to Rs 3,10,170 zone while resistance at Rs 3,31,810 to Rs 3,37,470 zone,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd.

A new report from Motilal Oswal Financial Services Ltd. (MOFSL) said silver’s exceptional rally of over 200 per cent in the last 12 months, sharply outperforming gold’s 80 per cent surge has created a condition in favour of yellow metal in near term.

Silver’s sharp surge from Rs 60,000 to Rs 3,20,000 could lead to a phase of consolidation at elevated levels or rebalancing by market participants becomes more likely, it forecasted.

—IANS

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