Silver price edges toward 14-year high as traders eye Fed decision and Middle-East conflict
Silver awaits key Fed decision
Silver’s bullish momentum in June 2025 has carried the metal closer to a major milestone, as it inches toward the 14-year high at $37.53 that was last seen in 2012. The month-to-date gain has now exceeded 12%, driven by strong technical breakouts and safe-haven demand, despite recent dollar strength.
• Silver gains 0.4% intraday as price nears 14-year high at $37.53
• Rising dollar slows Silver's momentum ahead of Fed decision
• Geopolitical risks and safe-haven demand are driver of Silver's near-term outlook
Yesterday, Silver broke through the upper boundary of a 2-day consolidation zone and reclaimed the $37 psychological level. That breakout confirmed fresh bullish momentum as price surged to a new monthly high at $37.25. The strong rally occurred even as the U.S. dollar index extended its upside recovery, indicating that investors are positioning ahead of key macro events.
Silver price dynamics (June 2025). Source: TradingView
Today, Wednesday, June 18, Silver opened at $37.11 and rose 0.5% in the Asian session, reaching a high at $37.30. That move extended gains from the previous session, but the price uptrend has since paused. During the European session, Silver’s momentum began to stall as the dollar continued its rebound. The rising dollar has introduced mild pullbacks in Silver intraday, showing early signs of hesitation ahead of critical policy and geopolitical updates.
Fed policy and Trump’s Middle East response may trigger Silver next move
Attention is now fixed on the Federal Reserve’s policy decision later in the North American session. The central bank is widely expected to hold interest rates steady, but traders are more focused on the forward guidance. Any shift in tone, especially in light of ongoing tariff tensions and escalating geopolitical risks, could weigh on the dollar or spark a risk-off move that benefits precious metals.
If the Fed leans dovish, the dollar may weaken, giving Silver the lift needed to break through the $37.53 resistance and reach new multi-year highs. On the other hand, a hawkish tone or firmer rate outlook could strengthen the dollar further and cap Silver’s ascent.
Another factor shaping sentiment is the Israel-Iran war. Any confirmed U.S. military involvement by the Trump administration may trigger demand for safe-haven assets and cause the dollar to retreat. This would likely benefit Silver in the short term.
As of the European session, Silver is still posting a 0.4% daily gain. A decisive break above the 14-year high at $37.53 may hinge on the tone of the Fed’s statement and evolving geopolitical developments in the coming hours.
Silver broke out of a 3-day range and hit $37.15 backed by strong volume. The breakout followed a trendline breach and now traders await retail data for direction
