Silver (XAG) Forecast: $30.60 Pivot Holds as Market Awaits Powell’s Fee Clues…

Silver continues to commerce inside a slim $2.00 vary, with $30.60 performing as a key pivot stage for the market. A transfer under $29.64 would sign additional bearish momentum, whereas a breakout above $31.54 may reverse the development to bullish. The 50-day transferring common at $31.71 stays a robust resistance level, with its breach required for a extra important upward transfer.

The present technical setup suggests indecision, however Powell’s remarks may present readability in the marketplace’s subsequent path.

Basic Drivers and Secure-Haven Help

Regardless of the latest dip, silver has discovered some assist from safe-haven demand as geopolitical tensions in South Korea and France add to market uncertainty. In South Korea, lawmakers have referred to as for President Yoon Suk Yeol’s resignation, whereas in France, no-confidence motions threaten Prime Minister Michel Barnier’s authorities.

On the identical time, the U.S. greenback index stays robust, including downward stress on silver. The stronger greenback makes silver dearer for holders of different currencies, counterbalancing its safe-haven attraction.

Powell’s Speech in Focus

All eyes are on Powell’s handle in New York, the place he’s anticipated to debate the U.S. economic system and financial coverage in a moderated dialogue. Markets are significantly eager about his feedback on inflation and future fee cuts forward of the Fed’s Dec. 17-18 assembly. Present market odds counsel a 74% likelihood of a 25-basis-point fee reduce, in accordance with CME Group’s FedWatch Software.

Powell’s insights will complement this week’s different key occasions, together with right this moment’s ADP employment report and Friday’s nonfarm payrolls knowledge. Each reviews may additional form expectations for the Fed’s subsequent strikes, with labor market situations being a important issue.