XAG/USD rises to near $30.00 due to safe-haven demand
The post XAG/USD rises to near $30.00 due to safe-haven demand appeared on BitcoinEthereumNews.com.
Silver price gains ground due to safe-haven demand ahead of the incoming Trump administration. The non-yielding Silver appreciates due to the increased likelihood of more Fed rate cuts following US PCE inflation data. Heightened geopolitical tensions, driven by the ongoing Russia-Ukraine conflict and unrest in the Middle East, have increased safe-haven demand. Silver price (XAG/USD) extends its winning streak for the sixth successive day, trading around $29.90 during the Asian hours on Friday. Silver prices could find upward support amid safe-haven demand as markets anticipate signals regarding the United States (US) economy under the incoming Trump administration and the Federal Reserve’s (Fed) interest rate outlook for 2025. The non-yielding Silver gains traction as moderate US PCE inflation data challenges expectations of limited Fed rate cuts next year, hinting at the possibility of more reductions. The safe-haven appeal is bolstered by heightened geopolitical risks stemming from the prolonged Russia-Ukraine conflict and ongoing tensions in the Middle East. Reuters reported on Thursday that Russia’s Federal Security Service announced that it had thwarted multiple assassination plots by Ukrainian intelligence targeting high-ranking Russian officers and their families in Moscow. Meanwhile, Gaza authorities reported that an Israeli airstrike killed five Palestinian journalists. However, the Israeli military claimed that the individuals were members of Islamic Jihad posing as media workers. The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against its six major peers, trades above 108.00, slightly below its highest level of 108.54, a level not seen since November 2022. Any further strengthening of the Greenback could limit the upside of the dollar-denominated precious commodities like Silver, as a stronger USD makes these assets more expensive for holders of other currencies. Silver FAQs Silver is a precious metal highly traded among investors. It has been historically used as a store…
Filed under: News - @ December 27, 2024 5:21 am