London, July 9, 2026, 11:54 BST
Spot silver climbed Thursday, getting closer to $59 an ounce as a weaker dollar lifted precious metals after Wednesday’s drop. Kitco’s live quote showed spot silver at $58.82 a troy ounce, up $0.68. The session traded between $57.47 and $59.60.
The move is notable with silver in a tough spot: investors are looking for safer assets given the Middle East tensions, but the Federal Reserve could stick with high rates or even raise them more. That usually weighs on “non-yielding” assets like silver and gold, which don’t offer interest.
Spot silver traded with the pack. Spot gold added 0.8% to $4,106.82 an ounce at 0901 GMT. Silver was up 1.4% at $59.14. Platinum gained 2.5%. Palladium moved up 2.8%, Reuters said. “Gold is trying to form a bottom today as dollar strength eases,” said Nikos Tzabouras, senior market analyst at Jefferies-owned Tradu.com. Reuters
The dollar eased, making dollar-priced metals less expensive for buyers with other currencies. That pushed silver higher after a steep drop Wednesday. Comex silver closed down 4.54% at $58.164, its lowest since June 24, Dow Jones market data showed, as reported by The Wall Street Journal.
Fed policy is stopping the rebound. Minutes from the central bank’s June meeting, out Wednesday, pointed to increased worry about inflation. The Fed kept rates steady at 3.50% to 3.75% last month, but some officials pushed for a hike before the bank decided to pause, according to Reuters.
Traders remain cautious. “The door is very much wide open to a September interest rate hike,” Thomas Ryan of Capital Economics told The Wall Street Journal, which said Fed minutes pointed to a more hawkish tone from the committee. The Wall Street Journal
Physical silver is tight in India, the world’s top silver market. Import restrictions have led to shortages and sent local premiums to the highest in six months, with premiums hitting $6.50 an ounce this week—over 10% above official prices. “Silver imports have nearly come to a halt,” said Chirag Thakkar, chief executive of Amrapali Group Gujarat. Reuters
This helps support the local market, but doesn’t drive up prices everywhere. Reuters reported that weaker Indian imports might pull global prices lower, despite tight supply at home pushing up premiums. ETFs, which track market prices, sent some metal into India as traders took profits, but dealers say that metal is gone now.
Silver still has some support from supply tightness, unlike a few other industrial metals. The Silver Institute and Metals Focus said in April the market is on track for a sixth straight year of deficits. Demand is set to beat supply, with 762 million troy ounces pulled from inventories since 2021. “Lease rates in London have largely normalised, but risks of another liquidity squeeze this year remain,” said Philip Newman, managing director at Metals Focus. Reuters
The risks are still there. A stronger dollar, higher U.S. inflation numbers, or rising chances for a September Fed hike could all sap silver’s gains. If India sticks with import limits and cuts buying for longer, the world market could lose a major source of demand. Local shortages might stick around.
Traders are waiting on U.S. inflation numbers next week and Fed Chair Kevin Warsh’s testimony to Congress to set the tone. Silver is getting bought again, though it’s still short of a clear breakout.
