Silver prices hold up well with the spot-futures price spread widening; active trading in the spot market [SMM Daily Review]

After Powell's dovish remarks were released on Friday night, the US dollar index plummeted, boosting precious metal prices to rebound. The spot-futures price spread for the SHFE silver 2510 contract-TD expanded to over 30 yuan/kg, with suppliers' premium against TD remaining unchanged from last Friday. According to SMM, in the Shanghai area, physical standard silver ingots (warrant) traded at a premium of 3-5 yuan/kg against TD, while large-scale silver ingots traded at a premium of 5-7 yuan/kg for just-in-time procurement. A small amount of physical standard silver ingots (non-warrant) in the Shanghai area were quoted at parity against TD, and some suppliers quoting against the SHFE silver 2510 contract offered a discount of 25 yuan/kg but saw limited transactions. Additionally, in Jiangxi, smelter-delivered physical silver was transacted at a premium of 1 yuan/kg against TD. As silver prices strengthened, suppliers' enthusiasm for selling improved, and downstream end-users maintained just-in-time procurement, leading to better trading conditions in the spot market compared to last Friday.