Silver Surges Amid Hopes for US-Iran Conflict Resolution

Silver prices surged on Wednesday as investors sought safe-haven assets amid hopes of a resolution in conflicts between the United States and Iran. The WTI Oil price fell 0.8% to $73.80, which anchored global inflation expectations and diminished fears of interest rate hikes by central banks.

The US Treasury Secretary Scott Bessent said that a deal with Iran to reopen the critical chokepoint could be reached 'as soon as Tuesday or Wednesday'. However, financial markets remain uncertain about whether ongoing talks would restore freedom of navigation through the Strait of Hormuz.

Investors will focus on the ADP Employment Change data for July, which will be published at 12:15 GMT. Deutsche Bank expects a modest pickup in US July payrolls, projecting employment growth of +65k and private payrolls to rise by +65k after +49k previously.