Today, SMM's 10:00 a.m. Ag (T+D) price fix on the Shanghai Gold Exchange stood at 14,840 yuan/kg, with the premium quote band ranging from parity to +20 yuan/kg against the T+D contract, and an average of +10 yuan/kg.
On the macro front, the US dollar index breached the 101-mark, hitting a fresh high since over a year ago. Silver has broken through key technical support, and the short-term trend is bearish. A stronger US dollar combined with rising US bond yields persistently weighed on precious metals.
In the spot market, consumption remained sluggish today. The decline in silver prices reinforced the downstream mentality to "rush to buy amid continuous price rise and hold back amid price downturn". After silver broke below key levels, the market largely waited for further declines. Morning quotes in Shanghai were mainly centered on parity to +20 yuan/kg against the T+D contract; traders' quotes veered toward the higher end, but actual buying sentiment was depressed, with transaction prices near the lower end. In other regions, most low-priced cargo had been cleared, though small amounts of low-priced supply persisted. Quotes in Shenzhen hovered around parity to +10 yuan/kg against the T+D contract. Today, the market's premium quote for the most-traded SHFE 2608 contract was -30 yuan/kg.
Overall, the market is currently pricing in expectations for two US Fed rate hikes. Precious metals are under notable short-term pressure, while liquidity issues continue to act as a drag. Spot market consumption is weak, with a strong wait-and-see sentiment downstream. Transaction prices were relatively stable, remaining within a parity to small premium range.
![[SMM Sliver Analysis] China's Silver Imports Decline in May, Peru Still Top Supplier](https://imgqn.smm.cn/usercenter/VCNvX20251217171735.jpeg)
![Platinum prices intraday in the doldrums, spot market discount maintains normal consumption [SMM Daily Review]](https://imgqn.smm.cn/usercenter/nQsOk20251217171736.jpg)
