Silver prices are currently stable and remain about a dollar away from their record high. The white metal is trading around $57.90 per ounce, after surging more than 8% in just the last two sessions. This surge occurred amid trader speculation that silver supplies would tighten, thus driving demand and keeping prices high.

In October, a large influx of silver flowed into London to relieve market pressure, but this actually put pressure on other trading centers. Silver inventories linked to warehouses at the Shanghai Futures Exchange even fell to their lowest level in a decade. This condition signals that physical silver stocks in some regions are starting to dwindle, adding to concerns about tight supplies.

In addition to supply factors, silver and gold are also supported by expectations that the Federal Reserve will cut interest rates again next week. The market is almost fully pricing in a quarter-point cut at the Fed's next meeting. At 7:17 a.m. Singapore time, silver was trading slightly around $57.8879 per ounce, while gold held steady after weakening slightly in the previous session. Meanwhile, the Bloomberg Dollar Spot Index ended flat on Monday, with palladium and platinum prices slightly lower. (az)

Source: Newsmaker.id