Silver (XAG/USD) extends its rally for the fourth consecutive session, soaring to a new all-time high of $51.69 during early Asian trading on Monday. The precious metal continues to attract strong buying interest amid growing expectations of further Federal Reserve rate cuts before the end of the year.

Investor sentiment turned more dovish following softer US data, as the University of Michigan Consumer Sentiment Index slipped slightly to 55.0 in October from 55.1 previously. Meanwhile, the FOMC Minutes from September indicated that policymakers remain inclined toward additional easing to support growth.

According to the CME FedWatch Tool, markets now price in a 96% probability of a 25-basis-point rate cut in October, and an 87% chance of another reduction in December. Lower interest rate expectations continue to bolster demand for non-yielding assets like Silver, as yields and opportunity costs decline.

Comments from Fed officials reinforced this outlook. St. Louis Fed President Alberto Musalem highlighted signs of labor market weakness, while San Francisco Fed President Mary Daly noted that inflation pressures have eased more than expected, supporting the case for additional policy easing.

On the geopolitical front, renewed US-China trade tensions have also driven safe-haven demand. President Donald Trump stated there was no need to meet Chinese President Xi Jinping at the upcoming South Korea summit and reiterated tariff threats. However, he later softened his tone, saying the US seeks to “help China, not hurt it.”

Technically, the breakout above the $51.50 mark confirms strong bullish momentum, with potential to test higher levels if sentiment remains supportive. Immediate support is seen near $50.80–$50.50, while resistance lies around $52.00–$52.20.

Bias: Strongly bullish while above $50.50
Support: $50.80, $50.50
Resistance: $52.00, $52.20