Currently, the fund holds nearly 15,540 tons of silver, equivalent to about $42.4 billion.
According to the latest update, the world’s largest silver ETF iShares Silver Trust (SLV), managed by BlackRock, sold more than 115 tons of silver in the session on March 11, extending a six-session run of selling.
In total, after six sessions, SLV has net sold 395 tons of silver. It currently holds about 15,540 tons, equivalent to about $42.4 billion.
SLV has been on a persistent net-selling trajectory since the silver price dropped more than 8% to below $82/oz on March 3. As of the morning of March 12, the price of silver had rebounded to $84.8/oz, up about 3.3% after roughly a week.
Investors worry that the recent oil price rally amid regional tensions between the US and Iran could raise inflationary pressures globally, particularly in the United States where core inflation remains elevated.
This concern weighs on expectations for a Fed rate cut this year, which would lift the USD and push US Treasury yields higher, exerting downward pressure on the precious metal.
In fact, the DXY index rose after the March 11 data from the US Labor Department showed inflation there remaining well above the Fed’s 2% target.
The report showed February CPI rose 0.3% month-over-month, higher than January’s 0.2% and in line with expectations. On a year-over-year basis, February CPI rose 2.4%, also in line with forecasts.
Additionally, investors in the
precious metals market will be watching key US economic data, notably the Personal Consumption Expenditures (PCE) price index due on Friday; the PCE is an inflation gauge closely watched by the Fed.
Markets are also eyeing the Fed’s next monetary policy meeting, scheduled for March 17–18. Currently, most forecasts expect the world’s central bank to keep rates unchanged.
