Silver price inches lower as traders adopt caution ahead of the US inflation data release on Wednesday. The non-yielding Silver faces minor challenges due to the uncertainty over the scale of a Fed interest rate cut. The CME FedWatch Tool suggests that the likelihood of a 50 bps rate cut has slightly decreased to 29.0%. Silver price edges lower to near $28.30 per troy ounce during Tuesday’s Asian hours.
Although less popular than Gold, traders may turn to Silver to diversify their investment portfolio, for its intrinsic value or as a potential hedge during high-inflation periods. Investors can buy physical Silver, in coins or in bars, or trade it through vehicles such as Exchange Traded Funds, which track its price on international markets. Which factors influence Silver prices? Silver prices can move due to a wide range of factors.