Rising desire for safe havens due to Middle East concerns has boosted silver’s increase

The value of silver increased marginally, by 0.19% to hit 71717, mostly as a result of the ongoing demand for safe haven assets amid growing Middle East tensions. Positive economic data, such as stronger-than-expected U.S. consumer spending in September, a healthy third-quarter GDP, and stronger durable goods orders for September, all contributed to this upswing.

These considerations made it more likely that the Federal Reserve would keep interest rates high. In the meantime, the European Central Bank decided to hold onto key interest rates in response to a run of disappointing PMIs.

Investor attention is still centered on the Middle East issue since any worsening of the scenario may lead to a flight for safety, which would be advantageous for the bullion market. In his remarks, Federal Reserve Chair expressed concerns about inflation that has remained high over time and suggested that further tightening of monetary policy may be necessary.

While there has been some improvement in recent statistics about shorter-term measures of core inflation, Federal Reserve Chair issued a warning, stating that persistent progress is required to guarantee a significant decline in inflation towards the intended objective.

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