Gold, silver rates today: Comex gold gains $64/oz, silver jumps $1.2/oz on oil retreat and weaker dollar

Precious metals rebounded on Tuesday, 5 May, as a sharp retreat in crude oil prices and a decline in the US dollar supported fresh safe-haven buying, while signs that the US-Iran ceasefire remains in place also aided sentiment.

COMEX gold futures rallied $64 per troy ounce to an intraday high of $4,697 after hitting a more than one-month low on Monday. Silver prices rebounded $1.12 to $74.64 per ounce, recovering from a near 2% drop in the previous session.

The shaky truce in the region came under further strain following US-Iran clashes in the Gulf, with both nations competing for control of the Strait of Hormuz, which has remained effectively closed since the war began.

However, US Defense Secretary Pete Hegseth said the truce that began just under a month ago is still holding. He added that two US commercial vessels transited safely through the Strait of Hormuz with military support, offering some reassurance to markets.

Meanwhile, Iranian Foreign Minister Abbas Araghchi said talks were “making progress" but warned that the US and the United Arab Emirates “should be wary of being dragged back into a quagmire."

The developments came a day after the US and Iran exchanged fire in a flare-up of violence that also drew in the UAE, prompting calls for renewed strikes and casting doubt on the fate of the fragile ceasefire.

US President Donald Trump warned on Sunday that Iranian efforts to halt passage through the strait “will, unfortunately, have to be dealt with forcefully.” He described “Project Freedom” in humanitarian terms, designed to aid stranded seafarers on hundreds of ships that have remained stuck in the Persian Gulf since the war began.

Meanwhile, the dollar cooled after surging for two straight sessions as tensions between the US and Iran showed signs of easing.

On the policy front, the US Fed is widely expected to keep the federal funds rate unchanged through the rest of the year, with markets pricing in roughly a 50% chance of a quarter-point hike in early 2027.

Many global brokerage firms are now expecting no rate cuts from the Federal Reserve this year. Last week, the Fed left rates unchanged in its most divided decision since 1992 amid deepening concerns about higher energy prices filtering through the economy.

Bullion is traditionally viewed as an inflation hedge; however, higher interest rates reduce its appeal as a non-yielding asset.

MCX gold gains over ₹1,000; silver rebounds to ₹2.47 lakh

Tracking the recovery in the international market, the near-term gold futures contract on MCX gained ₹1,101 to hit the day’s high of ₹1,50,440 per 10 grams. In the previous session, the yellow metal had dropped ₹2,013, marking its biggest intraday fall since April 21.

Silver futures on MCX also regained strength, rising ₹3,455 per kg to reclaim the ₹2.47 lakh mark and touch an intraday high of ₹2,47,350 per kg.

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