Silver Futures Jump on Strait of Hormuz Deal Hopes

Silver futures have surged to a four-week high as investors weigh reports of a possible deal to reopen the Strait of Hormuz. The September contract of silver jumped by Rs 4,545, or 2.05 per cent, to Rs 2,26,160 per kg. This price is similar to what it was on July 9 this year when it traded at Rs 2,26,377 per kilogram.

The metal's prices are trading higher due to the potential easing of inflation pressures and reduced chances of the Federal Reserve raising interest rates in the near term, according to Renisha Chainani, Chief Research Officer (CRO) at Augmont. A deal to reopen the Strait of Hormuz would help calm inflation worries.