Silver (XAG/USD) moves higher in the Asian session on Monday, trading close to the $51.00 mark as markets navigate uncertainty following the end of the US government shutdown. The precious metal is gaining traction as traders brace for a wave of delayed economic data releases that could shed light on the true state of the US economy.

Later today, several Federal Reserve officials — including John Williams, Philip Jefferson, Neel Kashkari, and Christopher Waller — are scheduled to speak. Their comments may provide fresh clues on the central bank’s policy stance heading into the final months of the year.

The main data highlight this week will be Thursday’s release of the US Nonfarm Payrolls (NFP) report for September. The labor market update is expected to guide expectations for the December Federal Reserve meeting. Softer-than-expected job creation could pressure the US Dollar (USD) and support Silver prices, given the metal’s inverse correlation with the Greenback.

Carol Kong, currency strategist at the Commonwealth Bank of Australia (CBA), noted:
“The risk is definitely skewed to a weaker payrolls print, and that would just reignite market expectations about a December FOMC rate cut and send the U.S. dollar down.”

However, the upside for Silver could be limited in the near term as markets digest a series of hawkish remarks from Federal Reserve officials. Kansas City Fed President Jeffery Schmid emphasized on Friday that monetary policy must continue to lean against strong demand, describing current conditions as “modestly restrictive” and appropriate to curb inflation pressures.

According to the CME FedWatch Tool, markets now assign roughly a 40% chance of a 25-basis-point rate cut at the Fed’s December meeting — significantly lower than the 60%+ probabilities seen earlier in the month. This shift in sentiment has helped buoy the US Dollar and could cap further immediate gains for the non-yielding Silver market.

Overall, Silver remains sensitive to incoming US macroeconomic developments. Any evidence of weakening economic momentum or cooling labor market conditions could renew rate-cut bets and provide additional support to XAG/USD during the week.