Silver Prices Hit New Lows

Silver prices experienced significant volatility, reaching a new year-to-date low of $54.77 per troy ounce before staging a minor recovery. Despite a small daily gain, the white metal was on track to close the week with a substantial loss of over 6.50%, indicating strong selling pressure.

Shifting Global Economic Outlook

Analysts are monitoring signs of structural economic stagnation in China, particularly within its housing market, which continues to struggle five years after the Evergrande crisis. In contrast, other Asian economies are seeing hawkish central bank policy, with the Bank of Korea signaling a faster pace of interest rate hikes through the end of the year.

US Dollar Strengthens on Safe-Haven Demand

The US Dollar benefited from its safe-haven status amid geopolitical tensions, causing currencies like the Mexican Peso to lose ground. The dollar's strength was also evident as it held firm against the Japanese Yen, despite verbal interventions from Japan's finance minister. Meanwhile, the Chinese Yuan has entered a period of consolidation against the greenback.