Rampage! Gold Prices Soar 2%, Silver Surges 5%: Time to Party?

Jakarta, CNBC Indonesia - Gold and silver prices surged 2% on Tuesday amid a weakening US dollar. Hopes for the resumption of talks between the US and Iran also supported prices by alleviating inflation concerns. According to Refinitiv, gold closed at US$4,840.34 per troy ounce on Tuesday’s trading (14/4/2026), up 2.13%. This gain reversed gold’s negative trend of weakening for two consecutive days prior. Gold prices dipped slightly today. On Wednesday (15/4/2026) at 06:41 WIB, gold was priced at US$4,840.1 per troy ounce, down a marginal 0.005%. US President Donald Trump stated that talks to end the Iran war are likely to resume in Pakistan in the next two days after last weekend’s failed negotiations prompted Washington to impose a blockade on Iranian ports. “The direction of the gold market will depend on how the talks in Pakistan proceed and what progress is made ahead of the weekend. If there is positive news, precious metals will continue to strengthen,” said Bob Haberkorn, senior strategy analyst at RJO Futures, to Reuters. “A weaker dollar and falling oil prices are currently helping gold, as when war breaks out, there is a cash scramble and concerns over the ability to secure energy supplies,” he added. The dollar index closed at 98.12 on Tuesday’s trading, lower than 98.4 on Monday. A weaker US currency makes gold, which is traded in dollars, cheaper for holders of other currencies. The latest data also shows that US producer prices rose lower than expected in March due to unchanged service costs. However, a surge in energy prices due to the war with Iran is driving inflationary pressure. Although known as an inflation hedge, gold becomes less attractive in a high interest rate environment because it offers no yield. Traders now estimate a 33% chance of a US rate cut this year, down from previous expectations of two cuts before the war broke out. “As long as the market does not start seriously considering a rate hike by the Federal Reserve and so far there are no signs of that, gold prices are unlikely to fall much further,” a Commerzbank analyst told Reuters.