Silver Rebounds, Market Remains Wary of Iran
Silver prices (XAG/USD) strengthened on Monday (March 30th) and held near $70.7 per ounce, as the market weighed limited optimism about Iran's diplomatic path against the risks of physical supply disruptions and shipping tensions in the region. In the spot market, XAG/USD was last in the range of $70.71–$71.02, up from its previous close of around $69.79.
However, silver's rally remains fragile as geopolitical headlines continue to quickly turn. US President Donald Trump's comments about "serious" talks with Iran compete with the threat that failure to open the Strait of Hormuz will trigger a harsher response against Iranian infrastructure. At the same time, energy risks remain high: Brent is hovering around $115.15 per barrel (front month), maintaining global inflation concerns and limiting monetary policy flexibility.
From a macro perspective, a stronger dollar limits silver's upside by raising costs for non-USD buyers. The DXY held around 100.3, supported by safe-haven flows and interest rate repricing as markets grew cautious about the outlook for energy inflation.
Against this backdrop, silver's near-term direction will be heavily influenced by two factors: tangible progress on the peace plan (which could potentially lower the energy risk premium) and US data—particularly the employment data—which could alter interest rate expectations and dollar movements.
Source: Newsmaker.id
