Silver prices rallied by ₹6,066 to ₹2.52 lakh per kilogram in futures trade on Monday as easing geopolitical tensions in West Asia and a weaker US dollar improved sentiment in the bullion market.

On the Multi Commodity Exchange, the white metal for July delivery surged ₹6,066, or 2.46 per cent, to ₹2,52,252 per kilogram in a business turnover of 11,420 lots.

In the past week, silver fell ₹2,351, or nearly 1 per cent, to ₹2.46 lakh per kg.

The rebound comes after US and Iranian officials announced that they had reached an initial agreement to end the conflict, lift the US naval blockade on Iran and reopen the Strait of Hormuz, a key route for global energy supplies.

In a post on Truth Social, US President Donald Trump said, "The deal with the Islamic Republic of Iran is now complete," adding that he had authorised the reopening of the Strait of Hormuz and the immediate removal of the US naval blockade.

In the international markets, Comex silver futures for July contract rose $2.39, or 3.53 per cent, at $70.37 per ounce in New York.

The metal last week declined nearly 2 per cent to close at USD 67.97 per ounce.

"Silver staged a recovery at the start of this week after US and Iranian officials announced they had reached an initial agreement to end their conflict," Renisha Chainani, Head of Research at Augmont, said.

The accord immediately eased pressure on oil prices and dialled back concerns over persistent inflation and further rate increases, she added.

Chainani said the announcement pushed the US dollar to a more than one-week low, making dollar-denominated bullion cheaper for holders of other currencies, while crude oil prices retreated sharply.

Investors are awaiting the US Federal Reserve's monetary policy decision and commentary under the chairmanship of Kevin Warsh on Wednesday, with interest rates widely expected to remain unchanged, she added.

According to Axis Securities, the European Central Bank's recent interest rate hike and higher inflation projections have reinforced concerns over a prolonged monetary tightening cycle.

Published on June 15, 2026