• Silver price appreciated as US Treasury yields declined following weak NY Empire State Manufacturing Index release on Tuesday.
• 2-year and 10-year yields on US Treasury bonds stand at 3.95% and 4.03%, respectively, by the press time.
• The safe-haven Silver may appreciate further as Israel may intensify its ground operations against Hezbollah.

Silver price (XAG/USD) continues its winning streak for the fifth consecutive day, hovering around $31.70 per troy ounce during the Asian trading hours on Wednesday. The non-yielding Silver has found support as US Treasury yields declined in response to disappointing manufacturing data released on Tuesday.

The NY Empire State Manufacturing Index unexpectedly dropped by 23 points to a reading of -11.9 in October, marking its lowest level in five months. This decline indicates a contraction in business activity in New York, following a growth reading of 11.5 in September.

2-year and 10-year yields on US Treasury bonds stand at 3.95% and 4.03%, respectively, at the time of writing. Lower yields boost the appeal of precious metals like Silver. However, last week’s strong US jobs and inflation data have reduced expectations for aggressive easing by the Federal Reserve (Fed) in 2024.

Markets are now forecasting a total of 125 basis points in rate cuts over the next year. According to the CME FedWatch Tool, there is currently a 94.1% probability of a 25-basis-point rate cut in November, with no expectation of a larger 50-basis-point reduction.