Gold and Silver Fall Drastically: Middle East Crisis Shakes Markets

The closing session today, Thursday, March 19, 2026, has been marked by significant weakness in precious metals, particularly gold and silver, which have experienced substantial declines. Geopolitical uncertainty stemming from the escalation of the conflict in the Middle East, along with expectations regarding central bank monetary policy, have been the primary drivers of these movements.

Closing Levels

Precious metals closed the trading day with the following quotes:

* **Gold (XAU):** $4638.80 USD/oz (-5.26%)

* **Silver (XAG):** $72.02 USD/oz (-7.18%)

* **Platinum (XPT):** $1967.10 USD/oz (-4.35%)

* **Palladium (XPD):** $1469.50 USD/oz (-4.37%)

* **Copper (HG):** $5.51 USD/oz (-1.56%)

Key Factors of the Day

The most influential news in recent hours has been the escalation of tensions in the Middle East, particularly concerning Iran. The closure of the Strait of Hormuz, although partial and allowing passage for some vessels, has ignited concerns about global energy supply. This has generated increased risk aversion, which paradoxically has harmed gold as a safe-haven asset in the short term, as investors have opted for liquidity amidst the uncertainty. The news that the ECB signals inflation risk due to rising energy prices from the Iran war, coupled with the possibility that the crisis could be a catalyst for EU integration, adds complexity to the outlook.

On the macroeconomic front, Morgan Stanley's statements postponing interest rate cuts to September and December, along with the revision of US banking capital rules, have added pressure to risk markets. The observed weakness in US TSA absences and the news about Jeff Bezos's investment in an AI-focused fund have also been on the radar, although their direct impact on metals has been less compared to the geopolitical factor.

Copper, while also retreating, has shown less volatility compared to precious metals, perhaps reflecting more resilient industrial demand or expectations of a faster recovery in sectors like manufacturing driven by AI, as suggested by Oppenheimer with their 'working-class renaissance' concept.

Outlook for Tomorrow

For tomorrow's session, it will be crucial to closely monitor the evolution of the geopolitical situation in the Middle East and any additional statements from major central banks. Investors will be attentive to spot price data and the dynamics of metal futures, as well as any indication of strategic accumulation by central banks or large institutions that could offer support to prices.

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