2025.08.2916:26:22UTC+00Silver Climbs to New 14-Year High

Silver prices have surged past the $39.50 per ounce mark, reaching their highest point since September 2011. This surge is fueled by trader speculation on potential Federal Reserve interest rate cuts, alongside robust industrial demand. Recent U.S. data indicates that core Personal Consumption Expenditures (PCE) inflation rose by 2.9% on an annual basis in July, marking the fastest increase since February. Concurrently, consumer spending experienced its most significant jump in four months, suggesting economic resilience. These figures have cemented expectations for a rate cut in September, with Federal Reserve Governor Waller endorsing a 25 basis points reduction and further easing in the upcoming months. Despite persistent inflation, markets continue to expect two rate cuts within the year. On the industrial front, silver demand is being propelled by China’s solar energy expansion, with exports of solar cells increasing by over 70% in the first half of the year, driven largely by strong demand from India.