Silver Rockets Past $60 as Traders Bet on a Big Fed Move

Silver pushed further into record territory after breaking above $60 an ounce, rising as much as 1.3% to $61.47 on expectations the Fed will cut rates today, with tight supply adding momentum.

Speculative inflows have strengthened the rally, helped by retail enthusiasm and trend-following traders, while comments from Kevin Hassett, the frontrunner to replace Jerome Powell as Fed chair, about having room to cut rates substantially gave prices another lift.

Silver has more than doubled this year, outpacing gold, with October's historic squeeze still reflected in elevated borrowing costs and decade-low Chinese inventories. Strong ETF inflows and surging call-option activity show investors positioning for more upside, even as some warn a correction is overdue.

Silver is Ovebought on the Daily

Silver remains in a strong uptrend, with its EMAs in a bullish formation and showing clear angle and separation. However, the RSI has pushed above 80 (blue rectangle), signalling overbought conditions and hinting at a possible short-term ceiling. The RSI will need to cool off, but any pullback from current levels is likely to be viewed as a "buy the dip" opportunity, with such support levels likely proving compelling.