XAG/USD steadies after three-day decline
Silver (XAG/USD) is holding firm on Thursday after a strong start to the day, recovering from a three-day losing streak as market sentiment turns cautious once again. Investors are flocking back to safe-haven assets following renewed global trade tensions and softer US Treasury yields, both of which have underpinned demand for the precious metals. The decline in yields came after a strong 10-year US Treasury auction on Wednesday, which saw robust investor demand and pushed yields lower.
At the time of writing, XAG/USD is trading around $36.63 during early American trading hours, easing slightly from the day’s high of $36.85.
The metal found support near the $36.30 region during the Asian session, rebounding firmly as US President Donald Trump intensified his tariff campaign with new threats targeting eight additional countries, including Algeria, Moldova, and the Philippines. The proposed tariffs, ranging from 20% to 50%, are set to take effect on August 1, further escalating global trade uncertainty.
Sentiment was also influenced by the release of the Federal Reserve’s (Fed) June Meeting Minutes, released on Wednesday, which showed that most policymakers see rate cuts as likely later this year, while concerns over inflationary risks from tariffs were considered temporary or modest.
Source: Fxstreet
