Meanwhile, the prolonged U.S. government shutdown, now stretching into its second week, continues to weigh on sentiment. The absence of official data releases has left markets without clear direction, compelling investors to rely on secondary indicators. The resulting data vacuum has amplified uncertainty, bolstering safe-haven flows into precious metals.

Silver Gains on Dual Role as Industrial and Safe-Haven Asset

Silver has mirrored gold’s upward momentum, buoyed by similar macroeconomic tailwinds. Beyond its traditional role as a store of value, the metal benefits from robust industrial demand tied to the renewable energy and semiconductor sectors, which together account for roughly half of global silver consumption.

Analysts note that the combination of monetary easing expectations and resilient industrial activity continues to support its outlook.

“Silver is tracking gold’s trajectory, but it also has its own demand story from the clean energy transition,” said a commodities strategist at ING.

Central Bank Purchases Reinforce Bullish Narrative

Global central banks remain active buyers in the bullion market. Recent data from the World Gold Council shows net purchases of 15 tonnes in August, led by Kazakhstan and Turkey, marking the sixteenth consecutive month of net accumulation.

The trend reflects efforts to diversify foreign reserves and hedge against currency volatility, particularly amid long-term concerns over debt sustainability and slowing global growth.