XAG/USD climbs 1.4% to $65.53 as inflation nears the Fed’s 2% target, fueling rate-cut expectations.
Silver prices jumped 1.4% to $65.53 on Wednesday after US inflation data showed cooling price pressures, aligning with the Federal Reserve’s 2% goal. The move reinforced expectations of potential Fed rate cuts later this year.
The metal cleared key resistance levels, including the 50-day SMA at $61.60 and the July 6 high of $63.28. Momentum remains bullish, with the Relative Strength Index (RSI) trending upward, targeting the August 10 high of $66.59 and the 100-day SMA at $68.87.
Support now rests at the 50-day SMA, with a drop below $63.28 risking a test of the $60.00 milestone. Traders are watching the 200-day SMA at $71.47 as the next major resistance level.