Gold & Silver Prices Fall as Iran Conflict Sends Crude Oil Above $115

By Ventura Research Team 2 min Read Mar 9, 2026

Gold and silver prices fall as crude oil rises amid Iran conflict

Brent crude jumped past $115 per barrel on March 9, 2026, driving fears of inflation and equity market losses. Despite oil-driven inflation concerns, gold and silver prices surprisingly fell due to rising interest rates and a stronger U.S. dollar.

Markets Burning

On Monday, March 9, 2026, Brent crude has soared past $115 a barrel, a jump of over 24% from last Friday’s close. The jump follows rising tensions in the Middle East, especially the closure of the Strait of Hormuz due to Iranian missile and drone attacks, which have disrupted global oil shipments. Roughly 15 million barrels of crude oil, about 20% of the world's oil, is typically shipped every day through the Strait of Hormuz.

The sudden oil surge rattled equity markets worldwide. In India, key indices traded sharply lower as investors factored in the potential rise in input costs and inflation.

At 12:50 PM, the Nifty 50 dropped by 2.43% to trade at 23,856.15, while the Nifty Next 50 fell 2.84%, closing around 65,560.80. Banking stocks were hit harder, with the Nifty Bank sliding 3.66% to 55,670.40, reflecting concerns over higher input costs and inflationary pressures on the broader market.

Sectors that are especially heavily reliant on crude, such as aviation, logistics, auto, and oil marketing companies, bore the brunt of the increase even higher.

Why Gold and Silver Are Falling Despite Oil Surge?

Generally speaking, rising oil prices serve as a hedge against inflation, prompting investors to invest in precious metals such as gold and silver. On the other hand, on March 9, 2026, these precious metals fell. This is a rare occurrence due to a complex array of factors.

Gold opened at $5,107.38/oz, down $64.12, or 1.24%, while silver started the day at $83.33/oz, dropping to $1.12, a decline of 1.32%.

Despite inflation concerns from soaring oil prices, factors such as rising U.S. interest rates, a stronger dollar, and profit-taking from the recent record highs weighed on these safe-haven assets, pushing prices lower in early trading.

The stronger US dollar against the Indian rupee is a major factor, as it surged up to 0.39% as of 1:07 PM on March 9, 2026, amid the Iran conflict. This makes dollar-denominated precious metals more expensive for foreign buyers. Oil's rally has intensified inflation fears, reducing expectations for Federal Reserve rate cuts and raising the chance of steady or higher rates, which hurts non-yielding assets like gold and silver.