Silver Hits Fresh 14-Year High
Silver prices rose 1% to $42 per ounce, reaching a 14-year high, driven by expectations of a Federal Reserve rate cut next week. Recent US data indicated a 0.4% rise in consumer prices in August, while producer prices fell. Jobless claims increased to 263K, the highest since 2021. Markets anticipate a 93% chance of a 25 basis point cut at the Fed's September 17 meeting. Safe-haven demand and strong industrial demand for silver, particularly in solar and electric vehicles, are supporting prices amid supply constraints.
Silver climbed 1% toward $42 per ounce on Friday, marking a new 14-year high as firm expectations of a Federal Reserve rate cut next week supported buying.
US data on Thursday showed consumer prices rising 0.4% in August, the fastest pace in seven months, while producer prices unexpectedly declined earlier in the week.
Jobless claims also pointed to labor market weakness, climbing 27K to 263K, the highest since 2021.
Markets are now pricing in about a 93% chance of a 25 basis point cut at the Fed’s September 17 meeting, with odds of a larger half-point move edging higher.
Safe-haven demand further underpinned precious metals amid ongoing geopolitical tensions.
On the industrial side, strong demand from solar, electric vehicles and electronics has kept the physical silver market tight against a backdrop of persistent supply constraints.
