Silver price moves above $47.50 as safe-haven demand increases
Trending Articles- Gold remains bid as lack of Fed clarity and geopolitical frictions persist
- Gold Price Forecast: XAU/USD drifts higher above $4,200 as Fed delivers expected cut
- Gold Price Steady Climb and the Sudden Surge of Silver and Copper: Will Their Bull Run Extend Into 2026?
- Gold Price Forecast: XAU/USD climbs above $4,250 as Fed rate cut weakens US Dollar
- Silver Price Forecast: XAG/USD refreshes record high, looks to build on move beyond $61.00
- U.S. November Nonfarm Payrolls: What Does the Rare "Weak Jobs, Strong Economy" Mix Mean for U.S. Equities?
Silver price appreciates as risk aversion increases on a global selloff in risk assets.
The non-yielding Silver struggled as expectations for a US Federal Reserve rate cut in December diminished.
The safe-haven metal may further lose ground as China plans to lift some tariffs on US agricultural goods.
Silver price (XAG/USD) halts its three-day losing streak, trading around $47.60 per troy ounce during the Asian hours on Wednesday. The price of Silver metal gains ground amid increased safe-haven demand, driven by a global selloff in risk assets.
Global stocks and other risk assets came under pressure as concerns mounted over inflated AI valuations. Risk aversion intensified following warnings from major Wall Street bank CEOs about possible market corrections.
The non-interest-bearing Silver faced challenges amid decreasing odds of the US Federal Reserve (Fed) rate cut in December. Fed funds futures traders are now pricing in a 69% chance of a cut in December, down from 90% a week ago, according to the CME FedWatch Tool.
Fed Chair Jerome Powell said last week during the post-meeting press conference that another rate cut in December is far from certain. Powell also cautioned that policymakers may need to take a wait-and-see approach until official data reporting resumes.
The safe-haven demand for Silver may weaken amid improving market sentiment, driven by the improving United States (US)-China trade situation. China’s Finance Ministry announced that it will lift some tariffs on US agricultural products starting November 10. The ministry also said that the 24% tariffs on certain US goods will be suspended for one year, while the 10% tariffs will remain in place.
On Tuesday, the White House announced that China will suspend extra export controls on rare earths and end probes into US semiconductor firms, in exchange for the US pausing some tariffs and canceling a planned 100% levy on Chinese exports.
Read more
* The content presented above, whether from a third party or not, is considered as general advice only. This article should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments.
