Silver Price Forecast: XAG/USD rises above $44.00 due to dovish Fedspeak

• Silver price attracts buyers following dovish remarks from the Fed officials.
• San Francisco Fed President Daly said more rate cuts may be needed to restore price stability and support jobs.
• The CME FedWatch tool suggests nearly a 92% possibility of a Fed rate cut in October.

Silver price (XAG/USD) maintains its position following intraday gains, trading around $44.00 per troy ounce during the European hours on Thursday. Silver prices hold ground near a 14-year high of $44.47, which was reached on Tuesday as traders put their bets on the precious metal due to dovish remarks from the US Federal Reserve (Fed) officials.

San Francisco Fed President Mary Daly said on Wednesday that further rate reductions are likely to be needed, as the central bank works to restore price stability and provide necessary support to the labor market. Chicago Fed President Austan Goolsbee broke away from the overarching narrative of consecutive Fed rate cuts heading through the end of the year, widening the narrative gap between Fed incumbents and Donald Trump's newly minted Fed pick, Stephen Miran.

Traders will also likely observe the upcoming speeches from Kansas City Fed President Jeff Schmid, New York Fed President John Williams, Fed Governor Michael Barr, and Dallas Fed President Lorie Logan due on Thursday. The CME FedWatch tool suggests that money markets are currently pricing in nearly a 92% possibility of a Fed rate cut in October, up from 87% a week earlier.

Silver price draws support from safe-haven demand amid rising geopolitical tensions, with NATO warning Russia it would use "all necessary military and non-military measures" to defend itself, while President Trump said Ukraine could reclaim all territory held by Russia. Ukrainian President Volodymyr Zelenskiy, in a UN speech on Wednesday, urged world powers to end Russia's war, warning it fuels a dangerous arms race, per Reuters.