Silver Price Steadies Amid Easing Inflation Concerns

The Silver price (XAG/USD) has stabilized around $63.90 per troy ounce after two days of losses, driven by underlying support from easing inflation concerns following a decline in crude oil prices.

Easing energy costs are due to reports that the United States and Iran are considering a phased agreement mediated by Qatari officials, which could lift the US blockade on Iranian ports and reopen the strategic Strait of Hormuz.

However, Silver faces significant headwinds from a strengthening US Dollar and surging Treasury yields. Investors are pricing in further monetary tightening by the Federal Reserve to contain broader price pressures, with market expectations for an October benchmark interest rate hike climbing to nearly 67.5%.