FX.co ★ Silver Holds Near 14-Year High

Silver prices remained stable around $38.8 per ounce on Monday, maintaining proximity to their highest levels since 2011. This stability is fueled by expectations that the US Federal Reserve might ease its monetary policy. On Friday, the metal saw an approximate 2% increase following remarks from Fed Chair Powell, suggesting a potential rate cut at the Fed's upcoming meeting. Powell highlighted that, despite low unemployment rates, the labor market faces rising risks, and the current policy is "restrictive," implying it may soon be adjusted. Current market assessments indicate an 87% likelihood of a 25 basis points rate cut in September, up from about 75% the previous week. On the industrial front, recent statistics revealed China's solar cell exports increased by over 70% in the first half of the year, driven by strong photovoltaic demand from India. This comes after China achieved a significant milestone in May, installing over 93 gigawatts of solar capacity—a record high and a 300% increase from the previous year—in anticipation of forthcoming policy changes that will complicate the process of connecting new solar panels to the grid.