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Silver pulls back after a week-long rally before US CPI
The drop followed a roughly 12% rise in a little more than a week, with July CPI due Wednesday at 8:30 a.m. ET.
Silver retreated from a seven-week high after investors took profits ahead of a key US inflation release, trimming a recent rally that has lifted the metal by about 12% in just over a week, Mining.com reported.
Trading was near $65 an ounce after an intraday high above $66, extending silver’s volatile run that has taken it almost 13% higher over the past month, though it remains well below its January record.
The pullback reflects conflicting macro signals, with higher oil prices tied to tensions around the Strait of Hormuz potentially keeping inflation risks elevated, while weaker US employment data has supported expectations for easier monetary policy and weighed on the dollar.
Investors will focus on Wednesday’s July consumer-price data from the US Bureau of Labor Statistics at 8:30 a.m. ET, where June prices fell 0.4% month over month and annual inflation was 3.5%, the outlet said, adding that a stronger print could pressure silver while softer inflation could reinforce lower-rate expectations.
Mining.com also noted that silver’s move is being supported by industrial demand, particularly China’s solar and electricity sectors, and it cited recent strength in precious-metals equities such as Pan American Silver and First Majestic Silver over the past month.
Latest closeSilver $65.88 ▲4.0%