Silver Price Rises Amidst Lower Interest Rate Expectations
Silver prices have continued their upward trend, reaching near $29.50 per troy ounce. The decline in US Treasury yields, driven by expectations for lower interest rates, has reduced the opportunity cost of holding silver.
The market's focus remains on the upcoming release of US PCE inflation data, which could provide insights into the Federal Reserve's monetary policy outlook. While the Atlanta Fed President has indicated support for a rate cut, the decision will ultimately depend on the incoming economic data.
Geopolitical Factors
The ongoing conflict between Israel and Hamas has created some uncertainty in the market, which could impact silver prices. However, the recent agreement on a temporary ceasefire could provide some relief.
Technical Outlook
Silver prices have shown a bullish trend, with the potential for further gains. A break above the $30.00 level could signal a continuation of the uptrend, with potential targets at $31.00 and beyond.