By Bas Kooijman, CEO and Asset Manager, DHF Capital S.A
July 22, 2025
Silver prices held close to 14-year highs on Tuesday, as a softer dollar and uncertainty around trade continued to support appetite for precious metals. Markets remained focused on developments in global trade negotiations ahead of the August 1 deadline, while investors awaited fresh signals from Fed Chair Powell amid growing political pressure for monetary easing. Recent dovish remarks from Fed Governor Waller reinforced expectations of future rate cuts to a certain extent. This backdrop could boost silver, a non-yielding asset.
Meanwhile, structural support remains strong. The global silver market is projected to register its fifth consecutive annual deficit in 2025, driven by record-high fabrication in green technologies. China’s industry ministry also pledged targeted support to sectors like autos, and other silver-consuming industries.
Investor confidence is also robust. Global ETP holdings surpassed 1.13 billion ounces in H1 2025, with net inflows of 95 million ounces already above last year’s total.
Looking ahead, market attention shifts to today’s Fed Chair Jerome Powell speech. A cautious tone could favour US treasury yields and the Dollar, weighing down on silver. Conversely, dovish remarks could potentially lead silver prices to break new highs.