FX.co ★ Silver Climbs on Safe-Haven Demand

On Thursday, the price of silver climbed above $33.70 per ounce, marking a weekly increase of over 2%. This surge came amid growing global trade tensions, which have boosted the demand for safe-haven assets. The previous day, President Donald Trump announced the implementation of a 25% tariff on all imported cars and light trucks, set to be enforced from April 2. Additionally, he introduced retaliatory tariffs targeting countries that impose levies on American goods, with the intent to sustain these measures throughout his second term. These tariffs have heightened concerns about potential retaliatory actions and have exerted pressure on US economic growth, with the possibility of rekindling inflation. Furthermore, the prospect of additional rate cuts by the Federal Reserve has also been supportive for silver prices. Currently, traders are factoring in two anticipated quarter-point reductions this year—one expected in June and another in September—while the likelihood of a third reduction in December continues to increase.