Silver Prices Hold Near 14-Year High
Silver prices traded higher at around $41.1 per ounce in Monday's US trading session, after hitting their highest level since 2011 last week. The rise in the price of the precious metal is still supported by increased demand for safe-haven assets amid global uncertainty, as well as expectations that the Federal Reserve will soon cut interest rates. Last week's weak US employment report strengthened market participants' confidence that the Fed will not delay its monetary policy easing, providing additional support for silver prices.
In addition to macroeconomic factors, industrial demand is also supporting silver's rally. The surge in the use of solar panels and environmentally friendly technologies is driving demand for silver, particularly in China and India. Analysts note that the clean energy trend is driving long-term consumption of this metal. Meanwhile, investors are also closely monitoring geopolitical developments, including trade tensions between the US and China, which have the potential to increase commodity market volatility.
Looking ahead, analysts expect silver prices to retest the psychological $41.5 per ounce area. If it breaks through, the next target is around $42.0. However, the potential for a technical correction remains open, given that the RSI indicator is showing overbought conditions. Investors are advised to remain cautious and pay attention to the release of US inflation data this week, which could be a major catalyst for the future direction of silver prices.
Source: Newsmaker.id
