Silver rises on safe-haven demand

Silver rose toward $51 per ounce on Wednesday, moving away from one-week lows as a selloff in risk assets, including tech stocks and cryptocurrencies, lifted safe-haven demand for precious metals.

Signs of a weakening US labor market also supported expectations for further Federal Reserve rate cuts, with Fed Governor Christopher Waller noting increased discussions of layoffs as firms prepare for softer demand and potential productivity gains from artificial intelligence.

However, markets are only pricing in roughly a 47% chance of a 25 basis point rate reduction in December, down from over 90% a month ago.

Physical factors also continue to offer some support for the white metal, with India’s wedding season is boosting physical demand, while concerns over potential US tariffs on silver have added an additional layer of unease to the outlook.