Silver settled marginally higher by 0.13% at 1,11,635 as the US dollar and Treasury yields eased from recent highs, giving precious metals room to recover. The retreat came as investors digested comments from Dallas Fed President Lorie Logan, who reiterated the need for a prolonged hold on US interest rates to curb inflation, especially as new tariff threats from President Trump loom over pharmaceuticals and semiconductors starting August 1.
Domestically, silver’s appeal remains robust with strong investment inflows—Indian silver ETFs attracted 39.25 billion in the June quarter, significantly surpassing the 23.67 billion that flowed into gold ETFs during the same period. Retail investment demand in India rose 7% in the first half of 2025, boosted by expectations of sustained price gains. India’s silver imports also reflect this appetite, surging 431% year-on-year in May to 544.1 tons and nearly doubling in June compared to last year. On the global front, silver ETPs attracted net inflows of 95 million ounces in the first half of 2025, already exceeding total 2024 inflows. Holdings rose to 1.13 billion ounces by June, just 7% below the all-time high in February 2021.
Technically, silver is under short covering as open interest fell 4.35% to 17,849 while prices gained 149. Immediate support lies at 1,10,855 and a drop below may test 1,10,080. Resistance is likely at 1,12,350, with a break above opening the door for a test of 1,13,070.
