Silver Rises, Dollar & Yields Key Ahead of US CPI
Silver (XAG/USD) strengthened slightly and held around $48.72/oz, in line with gold's stabilization on Thursday, while the market awaits Friday's US CPI release, which will determine the direction of the dollar and yields. Today's gains were relatively modest—around 1–2%—reflecting a wait-and-see attitude after the volatility at the start of the week.
Behind the price movement, supply dynamics and trade flows remain the main themes. In early October, a price surge triggered a squeeze in London and widened spot-futures spreads, triggering a flow of silver from Comex back to London. A few days ago, the influx of thousands of tons from the US and China into London vaults helped ease short-term shortages—a factor that could restrain impulsive surges, although sentiment remains positive.
Looking ahead, volatility remains high: traces of the sharp 21/10 correction are still visible in daily data, leaving traders weighing the gold/silver ratio and the direction of US real interest rates. From a strategic perspective, HSBC recently raised its 2025 average silver price projection amid strong gold prices and geopolitical risks, but the CPI outcome is likely to be the next driver for short-term direction.
Source: Newsmaker.id
