Silver Surges Near $31 as Traders Raise Dovish Fed Bets
Silver (XAG/USD) prices moved closer to $31.00 during the European session on Thursday. The white metal gained as traders raised bets in favor of the Federal Reserve (Fed) delivering more than one interest rate cut this year.
According to the CME FedWatch tool, traders are pricing in two rate cuts this year, with the first coming in June, rather than September, as expected before December inflation data was released.
As measured by the Consumer Price Index (CPI), headline inflation rose to 2.9%, as expected; however, the core reading—which excludes volatile food and energy prices—surprisingly rose at a slower pace of 3.2%.
Source: FXStreet