Silver Price Forecast: Falling US bond yields lift XAG/USD to around $57.30

• Falling US Treasury yields lift Silver towards $57.30.
• US bond yields retreat amid concerns over AI-related growth.
• US Dollar Index slips to 101.75 as US bond yields decline.

A 0.35% gain takes Silver (XAG/USD) to around $57.30 in Tuesday’s European session. Support for the white metal comes as United States (USD) Treasury yields ease following the previous day’s sharp rise.

At the time of writing, the 10-year US Treasury yield stands near 5.12%, down 0.5%. Yields on US-backed securities had climbed almost 1.2% to around 5.14%. In theory, declining US bond yields offer support to non-yielding assets such as Silver.

The US Dollar (USD) has also come under pressure from falling US bond yields. During European trading, the US Dollar Index (DXY) is down 0.22% at around 101.75. The index measures the Greenback against six major currencies.

Long-dated yields retreat as AI growth worries mount

Deutsche Bank attributes the move partly to mounting “Artificial Intelligence (AI)-related growth concerns helped to drive a decent rally for sovereign bonds,” noting that the US 10-year Treasury yield moved “down -16.5bps last week (+1.5bps Friday) to 5.07%.” The scale of the rally at the long end of the yield curve is evident in the strategists’ observation that “it was the biggest weekly decline for the 10yr yield since August 2025,” alongside their finding that the “30yr Treasury yield fell -17.5bps (+1.5bps Friday) in its biggest weekly decline since April 2025,” highlighting the strength of the move in longer maturities.

Silver Remains Under Near-Term Technical Pressure

Trading at $57.34 on the daily chart, XAG/USD retains a bearish short-term bias below the 20-day exponential moving average (EMA) of $59.85. With prices still beneath this dynamic resistance, recovery attempts are likely to attract selling. Meanwhile, the Relative Strength Index (RSI) stands at 38.15, in bearish territory just above oversold levels, indicating that downward pressure remains in place but has yet to become extreme.

For buyers, the first hurdle is the 20-day EMA at $59.85; a recovery above it is needed to ease the prevailing bearish bias. Should prices weaken, the low of 17 July at $54.77 provides the key support level.

(The technical analysis of this story was written with the help of an AI tool. Know more.)