Silver Price Hinges on US Economic Data Amid Interest Rate Expectations

Silver is currently trading near $58.69, entering one of its most critical phases since the beginning of the year.

This is not because the metal has lost its underlying fundamentals, but because global market priorities have shifted from geopolitical tensions to U.S. economic data.

The latest U.S. ISM Manufacturing PMI reinforced the view that the American economy continues to outperform expectations with a jump to 55.6, the fastest pace of manufacturing expansion in over four years.

This has given the Federal Reserve greater flexibility to keep interest rates higher for longer and potentially delay any shift toward monetary easing if upcoming economic releases continue to surprise to the upside.