XAG/USD rebounds toward $73.50 due to safe-haven demand
The post XAG/USD rebounds toward $73.50 due to safe-haven demand appeared on BitcoinEthereumNews.com.
Silver price (XAG/USD) holds ground after registering a steep drop of more than 7% in the previous session, trading around $73.50 per troy ounce during the Asian hours on Tuesday. Traders engaged in aggressive profit-taking after the XAG/USD pair hit a record high of 85.87 on Monday. Silver prices faced challenges after the CME decided to raise margin requirements on Silver futures, forcing leveraged traders to cut exposure as prices became technically overstretched. Analysts said the pullback reflected position unwinding rather than weakening underlying demand. Despite near-term volatility, Silver continues to draw support from structural supply constraints and robust industrial demand, particularly from the solar, electronics, and data-center sectors. Silver’s rally has also been fueled by a surge in speculative demand in China, driving premiums on the Shanghai Futures Exchange to record highs. These elevated premiums point to acute local demand and have tightened global supply chains, echoing earlier inventory squeezes in London and New York vaults. Safe-haven demand for Silver remains strong amid persistent geopolitical risks. Uncertainty has resurfaced around efforts to end the war in Ukraine following alleged strikes on President Putin’s residence. In the Middle East, Saudi air strikes in Yemen and Iran’s declaration of a “full-scale war” with the United States (US), Europe, and Israel have raised fears of broader instability, with Trump warning of further strikes if Iran resumes rebuilding its nuclear programme. Silver FAQs Silver is a precious metal highly traded among investors. It has been historically used as a store of value and a medium of exchange. Although less popular than Gold, traders may turn to Silver to diversify their investment portfolio, for its intrinsic value or as a potential hedge during high-inflation periods. Investors can buy physical Silver, in coins or in bars, or trade it through vehicles such as Exchange Traded…
Filed under: News - @ December 30, 2025 3:15 am