XAG/USD advances to near $33.00 due to renewed safe-haven demand
The post XAG/USD advances to near $33.00 due to renewed safe-haven demand appeared on BitcoinEthereumNews.com.
Silver price gains traction on the back of renewed safe-haven demand, driven by a weakening US Dollar. The non-yielding metal draws support from a drop in the 2-year US yield, which has declined over 1% to 3.75%. Investor anxiety intensified further amid escalating political tensions, following reports of Trump’s growing dissatisfaction with Fed Chair Jerome Powell. Silver price (XAG/USD) has recovered its losses registered in the previous session, trading near $32.80 per troy ounce during Monday’s European session. The recovery in the grey metal is supported by renewed safe-haven demand amid a weakening US Dollar (USD). The US Dollar Index (DXY), which tracks the Greenback against a basket of six major currencies, has dropped over 1%, hovering around 98.00 — its lowest level since March 2022. The decline in the US Dollar is mirrored by a sharp drop in the 2-year US Treasury yield, which has fallen more than 1% to 3.75%. The Greenback is under pressure due to growing concerns over the direction of US economic policy and the independence of the Federal Reserve (Fed). Investor unease deepened as political tensions further escalated last Thursday with reports suggesting Trump’s dissatisfaction with Fed Chair Jerome Powell, sparking fears of political interference in monetary policy and casting doubt on the central bank’s autonomy. The White House economic adviser, Kevin Hassett confirming that the option of dismissal is being explored. The mounting uncertainty on economic fronts has fueled demand for Silver, a traditional safe-haven asset in times of instability. Rising US-China trade tensions added to the risk-off sentiment. China pushed back against what it described as US “trade bullying,” warning other nations against yielding to pressure at its expense. The White House implemented tariffs on Chinese vessels docking at US ports, raising concerns over potential disruptions to global shipping routes. However, by…
Filed under: News - @ April 21, 2025 11:30 am