Silver Pulls Back to $66.70 as Recovery in US Treasury Yields Tempers Recent Precious Metal Gains Silver slipped 0.44% to trade around $66.70 on Thursday as US Treasury yields rebounded modestly and hawkish Federal Reserve minutes offset support from the government's bond buyback expansion. Silver experienced a minor pullback during Thursday trading, relinquishing a portion of the substantial gains registered in the prior session. Spot prices for the metal dropped by 0.44%, fluctuating around $66.70. This slight downside pressure comes as long-term US Treasury yields staged a modest recovery following a sharp drop triggered by unprecedented liquidity support measures from the US government. At the same time, hawkish signals embedded in the latest meeting minutes from the Federal Reserve created an additional hurdle for precious metal bulls attempting to extend the rally. US Treasury Debt Buyback Strategy and Bond Yield Dynamics The primary catalyst driving volatility across financial markets was an unexpected announcement made by the US Treasury at 12:32 GMT on Wednesday. Departing from its scheduled release calendar, the department revealed plans to dramatically scale up its liquidity-support buyback operations targeted at longer-dated nominal debt. Specifically, starting on September 9 and continuing through November 4, the maximum purchase limit for debt buybacks in the 10-year to 20-year and 20-year to 30-year maturity sectors will be doubled from $2 billion per operation to at least $4 billion. This aggressive intervention was introduced to alleviate growing structural friction and mounting pressure in the US bond market, where escalating borrowing costs have weighed heavily on government debt instruments. The initial market reaction on Wednesday was swift and decisive: long-dated US Treasury yields tumbled sharply, creating a favorable macro backdrop for non-yielding safe-haven assets including Silver and Gold. However, Thursday brought a minor reversal in fixed-income markets. Long-term yields began regaining ground, with the benchmark 10-year US Treasury yield stabilizing around 4.69% and the 30-year US Treasury yield climbing back toward 5.23%. This rebound in bond returns helped stem Silver's upward trajectory, preventing buyers from sustaining the breakout seen earlier in the week. US Dollar Trends and Precious Metal Valuation Despite the bounce in Treasury yields, the US Dollar Index (DXY), which tracks the Greenback against a currency basket comprising six major global currencies, remained under pressure, hovering near a seven-week low on Thursday. The broader trend of lower yields over recent days has kept the US Dollar on the back foot. A subdued Greenback typically provides underlying support for precious metals. Because Silver is priced globally in US Dollars, a weaker currency makes the metal less expensive for international investors purchasing with foreign currencies. Furthermore, lower real bond yields diminish the opportunity cost associated with holding non-interest-bearing assets like bullion compared to yield-generating bonds. Consequently, these macro forces continue to offer a baseline floor for Silver prices even amidst short-term consolidated pullbacks. Technical Outlook for XAG/USD 1-Hour Chart From a technical standpoint, the short-term chart structure for XAG/USD remains constructive. On the one-hour timeframe, Silver traded near $66.78, preserving a bullish bias as price action stayed well above key moving averages. The 100-period Simple Moving Average (SMA) sits at $65.21, while the longer-term 200-period SMA is positioned at $65.08. Holding above these foundational levels indicates that the broader short-term uptrend remains unbroken. Immediate horizontal support has formed around the $66.50 mark, acting as a buffer against intraday selling pressure. Additionally, the Relative Strength Index (RSI) stands at 62.04 on the one-hour chart. Positioned comfortably above the neutral 50 threshold, the indicator signals that positive buying momentum persists despite Thursday's consolidation phase. On the upside, initial resistance is located at $67.33. A successful break above this pivot could open the door for buyers to target a higher psychological barrier at $68.00, where profit-taking activity may intensify. Conversely, if selling pressure breaks through immediate support at $66.50, deeper demand is expected to emerge around the 100-period SMA at $65.21 and the horizontal support floor at $65.10, backed firmly by the 200-period SMA at $65.08. Cross-Asset Movements: Forex, Gold, and Cryptocurrencies The ripple effects of the Treasury's debt buyback initiative resonated across multiple global asset classes on Thursday • GBP/USD: The British Pound approached its May highs, trading near 1.3650 during the European session as the US Dollar continued to struggle for momentum. • EUR/USD: The Euro reached its highest level in three months, moving above 1.1700 amid persistent Dollar weakness tied to the Treasury buyback plan. • Gold: Spot Gold experienced minor intraday losses, hovering under the $4,500 threshold during European trading despite the persistent broad-based softness of the Greenback. • Bitcoin: Crypto markets responded enthusiastically to the injected liquidity prospects, with Bitcoin pushing higher toward the $72,000 mark. The Treasury's buyback announcement significantly enhanced broader market sentiment, sparking a short squeeze across cryptocurrency trading venues. What this means for you Impact for Investors and Traders: • Precious Metal Investors: Rebound in US bond yields could trigger short-term consolidation in Gold and Silver, though a subdued US Dollar provides underlying support. • Crypto and Forex Traders: US Treasury debt buybacks are improving market liquidity, helping Bitcoin maintain upward momentum and strengthening foreign currency pairs. Questions & Answers 1. What caused Silver prices to pull back on Thursday? Silver dipped 0.44% to around $66.70 due to a slight recovery in US Treasury yields and hawkish Federal Reserve meeting minutes. 2. What are the details of the US Treasury bond buyback plan? Starting September 9 through November 4, the US Treasury will double buyback limits from $2 billion to at least $4 billion per operation for 10-20 year and 20-30 year bonds. 3. What are the key technical support and resistance levels for Silver? Immediate technical support lies at $66.50 with deeper support at $65.21, while initial resistance is at $67.33 followed by $68.00. 4. How did other asset classes react to the Treasury buyback news? Enhanced liquidity sent Bitcoin toward $72,000, pushed EUR/USD above 1.1700, brought GBP/USD near 1.3650, and kept Gold hovering under $4,500. https://trendkia.com/en/market/us-treasury-yilda-men-rikavari-se-chandi-men-halki-giravata-66-70-ke-stara-para-aya-bhava-19093 TrendKia — Har trend, sabse pehle.