Silver Hovers Around $72/oz on Thursday, Near Three-Week Lows Amid Middle East Tensions

On Thursday, silver prices hovered around $72 per ounce, approaching three-week lows, as surging energy costs intensified inflation concerns and reinforced market expectations for potential interest rate increases from major central banks.

Geopolitical tensions in the Middle East, including the U.S. naval blockade of Iran announced by President Trump and the near-closure of the Strait of Hormuz, have disrupted global markets. Traders have accordingly reduced expectations for rate cuts this year and begun factoring in the possibility of rate hikes in 2027. The Federal Reserve maintained its policy stance unchanged, consistent with market expectations, though internal divisions emerged as four officials dissented.