TLDR

  • Gold futures climbed 3.8% to reach $4,864.40 per ounce following the U.S.-Iran ceasefire declaration
  • Silver futures jumped 7.9%, while spot silver advanced 6% to $77.38 per ounce
  • Trump declared a two-week pause in military operations against Iran through social media platforms
  • Crude oil prices plummeted over 15% while the U.S. dollar index declined after the announcement
  • Precious metals had faced downward pressure during the escalation due to inflation worries and rate expectations

Precious metals experienced significant gains on Wednesday following President Donald Trump’s announcement of a two-week pause in military operations with Iran, effectively suspending planned U.S. strikes.

Continuous gold futures advanced 3.8% to reach $4,864.40 per ounce. Spot gold rose 2.7% to $4,832.51 per ounce, marking its strongest level since March 19.

Micro Gold Futures,Jun-2026 (MGC=F)
Micro Gold Futures,Jun-2026 (MGC=F)

Silver experienced an even more pronounced rally. Silver futures climbed 7.9%, while spot silver increased 6% to $77.38 per ounce. Platinum also advanced 4.2% to $2,044.60 per ounce.

Trump revealed via social media that the U.S. would halt military operations for a two-week period. He indicated that the U.S. had successfully achieved its primary military goals.

The declaration arrived fewer than two hours ahead of an 8:00 p.m. ET deadline that financial markets had been monitoring intensely. Earlier during the day, Trump had delivered severe warnings regarding potential consequences of non-cooperation.

Pakistan facilitated the ceasefire agreement through urgent diplomatic efforts. The arrangement requires Iran to maintain open passage through the Strait of Hormuz for commercial shipping.

The Strait of Hormuz facilitates approximately 20% of worldwide oil transportation. Iran indicated its conditional agreement to permit safe transit during the ceasefire window.

Trump additionally stated the U.S. would assist in resolving shipping congestion in the Strait.

How Markets Reacted

Oil prices tumbled more than 15% following the ceasefire news. Risk-on assets experienced gains while the U.S. Dollar Index declined nearly 1% during Asian trading hours on Wednesday.

A declining dollar enhances gold’s affordability for international buyers using alternative currencies, which generally provides price support.

Both gold and silver had experienced downward pressure throughout the Iran escalation. Elevated energy prices had intensified inflation worries, diminishing market expectations for near-term Federal Reserve interest rate reductions.

Precious metals such as gold and silver provide no yield, making them less attractive when interest rates are anticipated to remain elevated.

What Comes Next

Market participants are now focused on Friday’s U.S. Consumer Price Index report for March. The data is anticipated to reveal monthly headline inflation gains, primarily driven by elevated fuel costs.

That economic data could influence expectations regarding Federal Reserve monetary policy in upcoming months.

In industrial metals, copper futures on the London Metal Exchange gained 2.8% to $12,691.33 per ton. U.S. copper futures rose 2.7% to $5.74 per pound.

Friday’s CPI release will represent the first significant economic indicator demonstrating how the recent energy price spike has impacted overall inflation levels.