Spot silver (XAG/USD) saw a correction during Tuesday's Asian trading session, falling back to around $57.40 per ounce, after rising nearly 0.5% the previous day. As a non-yielding asset, silver's recent price action has been influenced by multiple factors, including safe-haven demand, changes in the US dollar, interest rate expectations, and anticipated industrial demand. The market is awaiting a new directional signal. Silver prices have recently been significantly affected by changes in the Middle East situation. The US has stated that it is currently working to ease regional tensions through communication channels and that discussions have made positive progress. Previously, the US suspended related actions for 13 consecutive nights, improving market risk sentiment and pushing international oil prices down significantly. Lower oil prices reduced market concerns about renewed inflation driven by energy costs and also weakened investor expectations for further tightening of monetary policy by central banks. Lower energy prices eased inflationary pressures, providing support for the precious metals market, but also reduced short-term safe-haven demand for silver. However, the market remains cautious about the development of the situation. The US has stated that it may take further action if communication fails to make progress. Iran has stated that there are currently no direct negotiations with the US, and communication is only maintained through Oman regarding future arrangements in the Strait of Hormuz. Therefore, current market trading reflects more of a temporary easing of risk than a complete elimination of geopolitical uncertainty. As a precious metal, silver possesses both the safe-haven attributes of gold and is influenced by industrial demand, making its price performance typically more complex. On the one hand, declining global risks may weaken the inflow of safe-haven funds; on the other hand, if future inflationary pressures decrease and drive interest rate expectations towards easing, the lower real interest rate environment may still support silver's rise. Currently, investors' focus has shifted to the Federal Reserve policy meeting. The market generally expects the Fed to keep interest rates unchanged at this week's meeting, but investors will closely watch the policy statement and post-meeting remarks for clues about the future interest rate path. Although some market participants believe that persistent inflationary pressures may prompt the Fed to adjust its policy earlier, the mainstream expectation is that any potential rate hike is more likely to be postponed until September. Whether the Fed releases a hawkish signal will directly affect the dollar's trajectory and further determine the short-term direction of silver. The dollar's trajectory also has a significant impact on silver prices. Recently, the dollar index has remained high, putting some pressure on silver, which is priced in dollars. If the Fed maintains a high interest rate stance in the future, the dollar may continue to be supported, limiting the upside potential of silver; conversely, if policy expectations shift to a more dovish stance, silver may gain new upward momentum. From a market sentiment perspective, silver is currently in a phase of multi-factor interplay. While reduced geopolitical risks are putting pressure on prices, expectations of a shift in monetary policy and long-term demand for precious metals continue to provide support, suggesting that prices may continue to fluctuate in the short term. On the daily chart, silver has entered a high-level consolidation phase after its previous rapid rise, currently trading around $57.40. The overall trend remains bullish, with resistance at the $58.50 area; a further break above this level could test the $60.00 psychological barrier. Support is initially seen around $56.50; a break below this level could lead to a further pullback to the $55.00 area. Technically, silver's short-term upward momentum has slowed, but no clear trend reversal signal has yet formed. On the 4-hour chart, silver prices are in a consolidation phase, with bulls and bears battling around the $57-$58 range. If prices regain a foothold above $58.00, a short-term rebound could resume and challenge previous highs; if the rebound is met with resistance, the $56.50 support area should be monitored. Technical indicators suggest that short-term upward momentum has weakened, and the market awaits signals from the Federal Reserve's policy and the dollar's performance to provide new impetus. Editor's Summary: The current pullback in silver prices is mainly driven by improved risk sentiment and lower oil prices, but the market has not completely turned bearish. With the Federal Reserve policy meeting approaching, interest rate expectations and the dollar's performance will be key factors influencing silver's short-term performance. If the Fed releases a hawkish signal, a stronger dollar could limit silver's rebound; if the policy stance is dovish, and geopolitical risks escalate again, silver may still receive financial support. In the short term, the support level around $57 and the resistance level around $58.50 will be important reference areas for the market to determine the next direction.