Silver Shines Amid New Hopes from Washington
Silver prices rose at the start of this week, driven by market optimism regarding the possible end to the record-breaking US government shutdown. This positive sentiment caused the US dollar to weaken slightly and increased investor interest in riskier assets, including precious metals. Silver also benefited from the rebound in gold prices, which stabilized above $4,000 per ounce, reflecting increased demand for safe-haven assets amid global economic uncertainty.
In addition to political factors in the US, expectations regarding the direction of Federal Reserve policy also supported silver prices. Market participants now estimate the chance of a 25 basis point Fed rate cut in December at around 66%. The prospect of monetary policy easing could put downward pressure on US bond yields, weakening the dollar and providing additional support for precious metals like silver.
However, silver's gains could potentially be limited if US economic data delayed by the shutdown shows signs of a strong recovery. If the US dollar strengthens again or demand for industrial metals slows, selling pressure could re-emerge. For now, the market appears to remain optimistic, with silver trading steady near a key psychological level while awaiting confirmation of global economic policy direction. (az)
Source: Newsmaker.id
