Silver Climbs Toward $70 as Dollar Remains Under Pressure

Lead: Silver (XAG/USD) extended its strong rally on Friday, trading near $69.96, up significantly on the day, after touching a two-month high intraday. The weekly gain is on track to exceed 7%, with broad dollar weakness providing the core upward momentum for precious metals.

**Dollar Weakness as Key Driver**

Silver's robust performance this round is closely tied to the sustained pressure on the dollar. Market reports indicate that the dollar's decline against major currencies has directly boosted the appeal of dollar-denominated silver to holders of other currencies. Although the dollar index had previously reclaimed the 100-point level and pressured silver prices, the recent lack of momentum in the dollar's rebound has opened upside room for silver bulls.

**Bull-Bear Battle Near Key Level**

The silver price is currently hovering around the key psychological level of $70. Earlier, the silver market experienced a sharp correction, with a weekly drop of over 7% and a break below the $70 support, raising concerns of a trend reversal. However, this week, silver has not only recovered lost ground but is also strongly approaching this level, indicating solid buying support from below. If it can effectively hold above $70, market sentiment could further improve.

**Outlook Focuses on Macro Factors**

Looking ahead, silver's trajectory will remain closely tied to the dollar and U.S. macroeconomic data. Analysts note that the dollar has faced sustained pressure following suspected intervention by Japanese authorities to support the yen. Investors are closely watching upcoming economic data to assess the Federal Reserve's monetary policy path, which will directly influence the medium-term direction of both the dollar and silver.