- The silver market continues to be sensitive to gold’s price action; however, the volatility in the marketplace shows what kind of potential the grey metal has when gold prices start to rally.
September silver last traded at $24.975 an ounce, up nearly 2% on the day. At the same time, December gold futures last traded at $2,009 an ounce, up 0.50% on the day. Economists and analysts have said that weaker inflation data gives the Federal Reserve room to halt its tightening cycle. According to the CME FedWatch Tool, markets see a 79.5% chance that interest rates will remain unchanged in September.
Precious metals analysts at Heraeus said that silver could see robust industrial demand as the U.S. Department of Energy looks to spend $45 million to develop domestic manufacturing with the solar power sector.