Posted 23rd December 2022

Silver Price News: Silver Consolidates Ready for Fresh Move Higher

silver bar bullion

Silver is back below $24 an ounce but its solid recovery remains on course with the recent price action likely to be the latest consolidation before another fresh move higher.

In contrast to its precious metal peer gold, silver enters the festive season full of optimism with plenty to look forward to in the new year.

While the prospect of the Federal Reserve remaining aggressively hawkish for a while longer remains the main headwind for the metal, the strength of physical demand should more than offset that. This is demonstrated by silver’s gains from the middle of October onwards, which have been achieved in the face of continued interest rate hikes by the Fed and other central banks across the world.

Barring something dramatic affecting the markets between now and the end of the year, silver looks set to achieve a small annual gain – something that seemed fanciful when the price was enduring its multi-month slump from April through to September.

Yet despite silver’s impressive rally since that September nadir, its price remains some way off the March high for the year showing there is still plenty of upside potential given the overwhelmingly strong fundamental case for silver, with it in demand from multiple sectors across the world.

Therefore, with the March high the major initial target for early 2023, there is potential for silver’s rally to keep on going and see it challenge $30 an ounce – the kind of levels not seen for over 9 years.

This publication is for informational purposes only and is not intended to be a solicitation, offering or recommendation of any security, commodity, derivative, investment management service or advisory service and is not commodity trading advice. This publication does not intend to provide investment, tax or legal advice on either a general or specific basis.