Silver fell for a third day, dropping over 2.90% on Friday to $80.16 and heading for nearly 3% weekly losses. The move came as the US Dollar traded near a four-month high and US Treasury yields rose.<\/p>\n
US equities gained 0.40% to 0.43% while data pointed to weaker growth after a 43-day government shutdown. The second estimate of Q4 2025 GDP slowed from 1.4% YoY to 0.7%.<\/p>\n
Core PCE inflation held at 3.1% YoY in January, while headline inflation eased from 2.9% to 2.8%. Expected Fed easing priced for 2026 rose from 17 basis points to at least 19.5 basis points.<\/p>\n
WTI Oil reached a yearly high near $113.00 earlier in the week and later traded at $95.90. Petrol prices rose more than 20% to $3.60 per gallon since the conflict began two weeks ago.<\/p>\n
The US Dollar Index rose 0.61% to 100.35, and the 10-year Treasury yield increased 2.5 basis points to 4.287%. President Donald Trump announced action against Iran after a partial 30-day waiver for buying sanctioned Russian Oil.<\/p>\n
Technical levels cited include resistance near $83.00 and $86.00, with support around $78.00 and $74.00, and a further level near $70.00. An RSI reading was described as moving towards 45.<\/p>\n
The US Dollar’s strength is currently overwhelming other factors, pushing silver below the key $81 mark. With the Dollar Index hitting a four-month high of 100.35, we see direct pressure on dollar-priced assets like silver. This trend is likely to continue in the immediate short-term as long as US Treasury yields remain elevated near 4.30%.<\/p>\n
We are now focused on next week’s Federal Reserve meeting on March 17-18, which will be a major catalyst. While the weak GDP data from late 2025 supports the case for rate cuts, sticky inflation at 3.1% gives the Fed reason to pause. We remember how in early 2024, markets priced in aggressive cuts that didn’t materialize until later in the year, causing a sharp repricing in metals, so caution is advised.<\/p>\n
Geopolitical risks from the Middle East and President Trump’s planned actions against Iran are a significant wildcard for inflation. Oil prices, after briefly touching $113, have settled around $95.90, but any escalation could send them surging again, forcing the Fed’s hand and potentially boosting silver’s safe-haven appeal.<\/p>\n
From a technical standpoint, the bearish momentum seems poised to test the $80 level. A break below this psychological support could open the door to a slide towards the next support at $78, making put options with strikes in this range an interesting consideration. We would need to see a firm close back above $86 to reconsider a bullish stance.<\/p>\n
The Gold\/Silver ratio is also providing clues, now stretching above 85:1, a level not seen since the economic uncertainty of 2024. This suggests silver is becoming historically cheap compared to gold. For those of us with a longer-term view, this divergence could present an opportunity for pairs trades, betting on silver to outperform gold if market sentiment shifts.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" Silver slid a third day as strong dollar, rising yields pressured prices; GDP slowed, inflation cooled modestly.<\/p>\n","protected":false},"author":103,"featured_media":16981,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-51433","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/51433","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/103"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=51433"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/51433\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/16981"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=51433"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=51433"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=51433"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}