Silver rises on dollar decline and geopolitical issues
Silver (Xag/USD) is currently trading around $32.36, having reached a session high of $32.94. The metal’s attractiveness is bolstered by the weakened US dollar, as it serves both as a safe haven and an industrial commodity. The US Dollar Index (DXY) sits below 101, creating a conducive environment for silver prices.
Experts highlight that silver’s increased industrial demand, coupled with its safer profit potential, has made it particularly responsive to shifts in market sentiment.
The upcoming US unemployment claims data could shed light on the economy’s status and influence silver’s direction in the short term.
Attention on Federal Reserve policy and economic statistics
Market participants are keenly observing the Federal Reserve’s next steps. The Fed recently maintained interest rates, yet Chairman Jerome Powell’s cautious outlook on the economy has left the market uncertain.
Data on US inflation and retail sales expected later this week may significantly impact the short-term outlook for both gold and silver, helping gauge the Fed’s stance on monetary policy.
Short-term projection
Gold is hovering around $3,328, with key support levels between $3,303 and $3,326. Silver is under some pressure at about $32.36, facing important resistance at $32.83 and support at $32.23.
