With global trade sentiment easing, silver prices remained range-bound.
2025-10-31 14:19:51
Silver prices (XAG/USD) held steady near Thursday's high of $49.00 during Friday's Asian trading session. Despite the market reducing its expectations for further interest rate cuts by the Federal Reserve, silver continued to demonstrate resilience.
According to the CME FedWatch tool, the probability of the Federal Reserve cutting interest rates by 25 basis points at its December meeting has fallen from 91.1% a week ago to 72.8%. Federal Reserve Chairman Jerome Powell stated in Wednesday's policy statement that a December rate cut is "far from a done deal."
This statement quickly cooled market expectations for further easing. Analysts believe this hawkish stance puts pressure on non-interest-bearing assets such as gold and silver, as a stable interest rate outlook means a higher opportunity cost of holding precious metals.
On Friday, the market is focused on speeches by Federal Open Market Committee (FOMC) members Atlanta Fed President Bostic and Cleveland Fed President Hammark. Investors hope to glean more clues from the two officials' remarks regarding the direction of December interest rates in order to determine the logic behind Powell's statement of "pausing rate cuts."
Meanwhile, easing global trade tensions further dampened safe-haven buying. US President Trump stated on Thursday that major Asian powers would "open up resource exports" to Washington and were willing to cooperate on the fentanyl issue, while also accelerating agricultural exchanges.
These positive statements boosted market risk appetite, causing safe-haven funds to flow out of the precious metals market.
From a technical perspective, silver prices are trending cautiously in the short term. The current price is consolidating around $49.00 and has yet to break through the 20-day exponential moving average (EMA), which is currently around $48.55.
The Relative Strength Index (RSI) fell below 60 on the 14th, indicating that bullish momentum is waning. Support lies at $44.47 (the high of September 23rd), while resistance is at the all-time high of $54.50.
Analysts believe that if silver prices fall below the $48.50 support level, they may pull back to test the $44 range in the short term; if they break through $49.50, they may restart the upward trend.
Editor's Note:
Silver prices are currently constrained by both macroeconomic policies and risk sentiment. While improved global trade relations have injected optimism into the market, the Federal Reserve's cautious stance limits its room for further easing. Silver prices are likely to remain range-bound between $48 and $50 in the coming weeks, lacking a clear breakout direction.
According to the CME FedWatch tool, the probability of the Federal Reserve cutting interest rates by 25 basis points at its December meeting has fallen from 91.1% a week ago to 72.8%. Federal Reserve Chairman Jerome Powell stated in Wednesday's policy statement that a December rate cut is "far from a done deal."
This statement quickly cooled market expectations for further easing. Analysts believe this hawkish stance puts pressure on non-interest-bearing assets such as gold and silver, as a stable interest rate outlook means a higher opportunity cost of holding precious metals.
On Friday, the market is focused on speeches by Federal Open Market Committee (FOMC) members Atlanta Fed President Bostic and Cleveland Fed President Hammark. Investors hope to glean more clues from the two officials' remarks regarding the direction of December interest rates in order to determine the logic behind Powell's statement of "pausing rate cuts."
Meanwhile, easing global trade tensions further dampened safe-haven buying. US President Trump stated on Thursday that major Asian powers would "open up resource exports" to Washington and were willing to cooperate on the fentanyl issue, while also accelerating agricultural exchanges.
These positive statements boosted market risk appetite, causing safe-haven funds to flow out of the precious metals market.
From a technical perspective, silver prices are trending cautiously in the short term. The current price is consolidating around $49.00 and has yet to break through the 20-day exponential moving average (EMA), which is currently around $48.55.
The Relative Strength Index (RSI) fell below 60 on the 14th, indicating that bullish momentum is waning. Support lies at $44.47 (the high of September 23rd), while resistance is at the all-time high of $54.50.
Analysts believe that if silver prices fall below the $48.50 support level, they may pull back to test the $44 range in the short term; if they break through $49.50, they may restart the upward trend.
Editor's Note:
Silver prices are currently constrained by both macroeconomic policies and risk sentiment. While improved global trade relations have injected optimism into the market, the Federal Reserve's cautious stance limits its room for further easing. Silver prices are likely to remain range-bound between $48 and $50 in the coming weeks, lacking a clear breakout direction.
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