Silver Price Forecast: XAG/USD Jumps To Near $73.00 On US Rate Cut Hopes, Safe-Haven Demand

Talkmarkets
2026.01.02 05:45
portai
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Silver prices (XAG/USD) have surged to around $72.90, driven by expectations of US Federal Reserve interest rate cuts and increased safe-haven demand amid geopolitical tensions. The price rose over 140% in 2025, the highest since 1979. Financial markets anticipate two quarter-point rate cuts this year, which could lower the opportunity cost of holding silver. However, potential profit-taking and portfolio rebalancing may limit short-term gains. Additionally, the CME Group announced increased margins for precious metals, requiring investors to provide more cash for contracts.