Investors are cautious about purchasing silver due to a number of US macroeconomic factors. The absence of clear price movement stimuli has left the silver market in a prolonged state of consolidation.
Last week's main event was the US trade court's decision to block Trump's tariffs. The prospect of sustained tariff cuts bolstered expectations of increased global demand for silver, a metal widely used in photovoltaics and electronics. However, the appeal filed against the court's decision has brought back uncertainty, dampening risk appetite among silver buyers.
Additionally, the Federal Reserve officials maintained a cautious stance on monetary policy. Higher Treasury yields are putting pressure on assets sensitive to interest rates, reducing the attractiveness of silver to investors.
US consumer spending growth slowed from 0.7% in March to 0.2% in April. At the same time, personal income rose 0.8%, bringing the savings rate to 4.9%, the highest in almost a year. This suggests that households are being cautious with discretionary spending, which could dampen short-term industrial demand for silver.