- Silver price struggles near $32.00 as US Treasury yields rise ahead of February's US PCE inflation data.
- US President Trump renews threats of tariffs on the Eurozone.
- Investors await updates on Russia-Ukraine peace negotiations.
Silver price (XAG/USD) remains under selling pressure near $32.00, declining nearly 0.3% to around $31.70 during European trading hours on Thursday. The drop comes as US Treasury yields rebound after a six-day losing streak, ahead of the US Personal Consumption Expenditure (PCE) Price Index data for January, set for release on Friday.
At press time, the 10-year US Treasury yield has risen 1.3% to approximately 4.31%. Higher yields on interest-bearing assets typically weigh on non-yielding assets like Silver.
Economists anticipate a slowdown in the US core PCE inflation rate, which excludes food and energy prices, to 2.6% year-over-year from December’s 2.8%. On a monthly basis, inflation is expected to rise by 0.3%, slightly faster than the previous 0.2% reading.
Investors are closely monitoring the core PCE inflation report, as it serves as the Federal Reserve’s preferred inflation gauge and will influence expectations for future monetary policy.
Meanwhile, US President Donald Trump’s tariff agenda continues to support Silver prices. On Wednesday, Trump reiterated his intention to impose 25% tariffs on cars and other imports from the Eurozone.
Geopolitical developments also remain in focus, as investors await the meeting between European leaders and UK Prime Minister Keir Starmer to discuss President Trump’s efforts to expedite an end to the Russia-Ukraine war.
Silver Technical Analysis
Silver price has slipped below $32 after failing to hold above the December 12 high of $32.33. The metal has now retreated toward the 50-day Exponential Moving Average (EMA) at approximately $31.40.
The 14-day Relative Strength Index (RSI) has fallen within the neutral 40.00–60.00 range, indicating fading bullish momentum. However, the broader bullish outlook remains intact.
On the downside, key support lies at the upward-sloping trendline from the August 8 low of $26.45, around $30.00. On the upside, the February 14 high of $33.40 serves as a key resistance level.
Silver daily chart
