Today market analysis on behalf of Bas Kooijman is the CEO and Asset Manager of DHF Capital S.A
22nd April 2025: Silver prices were relatively stable on Tuesday. However, silver remained supported by safe-haven demand as political and economic uncertainty weighed on broader markets. The US dollar weakened further after President Donald Trump escalated pressure on the Federal Reserve, hinting at the potential removal of Fed Chair Jerome Powell. The latter could fuel a flight to defensive assets like silver.
On the structural side, silver’s long-term outlook could remain bullish as the market is expected to stay in deficit, although the gap could narrow, which could introduce some risks. At the same time, industrial use could come under pressure due to tariff risks. However, physical investment could benefit from rising safe-haven demand and risk-aversion, offsetting some of the risks.
Looking forward, all eyes are now on US macroeconomic indicators, including PMI data, housing figures, and consumer sentiment. Additionally, Fed officials’ speeches will also be closely monitored. Hawkish tones or stronger-than-expected data could limit silver’s gains, while signs of economic fragility may fuel safe-haven demand.