Over this period, crude oil, the world’s most critical commodity, has surged past the $110 mark, rattling global markets. Under normal circumstances, such a backdrop would lend strong support to precious metals.This time, however, the trend has broken. In times of geopolitical uncertainty, investors tend to move not just into gold but also into the dollar, which offers deeper liquidity and wider global acceptance. In such phases, even traditional safe-haven assets like gold can face short-term selling pressure as investors liquidate holdings to meet margin calls or rebalance portfolios, said Ponmudi R, CEO of Enrich Money. Markets now expect that sustained high oil prices could force central banks to adopt a more hawkish stance, limiting the appeal of non-yielding assets like gold.

Source: Economic Times March 23, 2026 07:16 UTC