Silver Holds Above $69 as Debasement Trade Revives Demand
Silver prices held steady above $69 an ounce on Monday, maintaining its two-month high as concerns over US debt management and fiscal sustainability continued to drive demand for precious metals.
The metal's value rose 0.25% to $69.112 an ounce by [11:58 am] PST, according to Mettis Global data.
The increase was attributed to the unexpected rise in US Treasury buybacks of longer-dated government debt, which pushed Treasury yields and the dollar lower.
This revival of the so-called debasement trade supported investor interest in silver and other precious metals, according to Trading View.
US Treasury Secretary Scott Bessent indicated that the government could expand its buyback program, while measures aimed at bringing down borrowing costs are being prepared.