Silver Price Forecast: XAG/USD declines to near $75 at the start of the week
Silver price (XAG/USD) trades 2% lower at around $75.00 during the Asian trading session on Monday.
  • Silver price tumbles to near $75.00 as soft US CPI data fails to prompt dovish Fed bets.
  • The Fed is unlikely to cut interest rates in the March and April policy meetings.
  • A likely US military action in Iran could boost the demand for safe-haven assets.

Silver price (XAG/USD) trades 2% lower at around $75.00 during the Asian trading session on Monday. The white metal is under pressure as lower-than-expected United States (US) Consumer Price Index (CPI) data for January fails to prompt hopes of interest rate cuts by the Federal Reserve (Fed) in the near term.

Theoretically, lower inflation boosts hopes of monetary policy easing by the Fed in the near term. It seems that market participants are more focused on the labor market than on changes in price pressures.

According to the CME FedWatch tool, traders remain confident that the Fed will keep interest rates steady in the current range of 3.50%-3.75% in March and April.

The data showed on Friday that the US headline inflation cooled down to 2.4% Year-on-year (YoY) from 2.7% in December. On a monthly basis, the US headline CPI grew at a slower pace of 0.2% against estimates and the prior reading of 0.3%.

On the geopolitical front, investors remain concerned over tensions between the US and Iran. A report from Reuters has stated that the US military is preparing for the possibility of sustained, weeks-long operations against Iran if President Donald Trump orders an attack, a scenario that would force investors to shift to the safe-haven fleet.

Silver technical analysis

XAG/USD trades down to near $75.61 as of writing. Price holds below the falling 20-EMA at $84.23, keeping the near-term bias heavy as trend pressure remains to the downside. The average continues to descend, underscoring persistent supply. RSI at 43.47 sits below the 50 midline, confirming weak momentum rather than capitulation.

Below the dynamic cap, rebounds could fade on approach to the average and keep the sequence of lower highs intact. A daily close above $84.23 would ease pressure and open room for a corrective recovery, with confirmation strengthened if RSI reclaims 50. Until that occurs, risk stays skewed toward further weakness, and rallies would be sold into.

(The technical analysis of this story was written with the help of an AI tool.)

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 Funds, which track its price on international markets.

Silver prices can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can make Silver price escalate due to its safe-haven status, although to a lesser extent than Gold's. As a yieldless asset, Silver tends to rise with lower interest rates. Its moves also depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAG/USD). A strong Dollar tends to keep the price of Silver at bay, whereas a weaker Dollar is likely to propel prices up. Other factors such as investment demand, mining supply – Silver is much more abundant than Gold – and recycling rates can also affect prices.

Silver is widely used in industry, particularly in sectors such as electronics or solar energy, as it has one of the highest electric conductivity of all metals – more than Copper and Gold. A surge in demand can increase prices, while a decline tends to lower them. Dynamics in the US, Chinese and Indian economies can also contribute to price swings: for the US and particularly China, their big industrial sectors use Silver in various processes; in India, consumers’ demand for the precious metal for jewellery also plays a key role in setting prices.

Silver prices tend to follow Gold's moves. When Gold prices rise, Silver typically follows suit, as their status as safe-haven assets is similar. The Gold/Silver ratio, which shows the number of ounces of Silver needed to equal the value of one ounce of Gold, may help to determine the relative valuation between both metals. Some investors may consider a high ratio as an indicator that Silver is undervalued, or Gold is overvalued. On the contrary, a low ratio might suggest that Gold is undervalued relative to Silver.

Higit sa isang milyong user ang umaasa sa FXStreet para sa real-time market data, charting tools, expert insights, at Forex news. Ang komprehensibong economic calendar at educational webinars nito ay tumutulong sa mga trader na manatiling may alam at gumawa ng kalkuladong mga desisyon. Sinusuportahan ang FXStreet ng humigit-kumulang 60 propesyonal sa pagitan ng Barcelona HQ at iba’t ibang rehiyon sa buong mundo.
Magbasa pa

LIVE QUOTES

Pangalan / Simbolo
Tsart
% Pagbabago / Presyo
XAUUSD
1 araw na pagbabago
+0%
0
XAGUSD
1 araw na pagbabago
+0%
0
XPTUSD
1 araw na pagbabago
+0%
0

LAHAT TUNGKOL SA GOLD

Galugarin ang Higit pang mga Tool
Trading Academy
Mag-browse ng malawakang hanay ng mga educational na artikulo na sumasaklaw sa mga trading strategy, market insights, at financial fundamentals, lahat sa isang lugar.
Matuto pa
Mga Kurso
Galugarin ang mga structured na trading course na idinisenyo upang suportahan ang inyong paglago sa bawat yugto ng inyong trading journey.
Matuto pa
Webinar
Sumali sa mga live at on-demand na webinar upang makakuha ng real-time na market insights at trading strategies mula sa mga eksperto sa industriya.
Matuto pa