Powered by: Motilal Oswal
01-01-1970 12:00 AM | Source: Geojit Financial Services Ltd
Silver prices in global platforms tested 9-month lows - Geojit Financial
News By Tags | #473 #4943

Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel

Silver prices in global platforms tested 9-month lows. Slightly hawkish statements from Federal Reserve subdued sentiments in precious metal silver.

Global Economy

• Most equity indices across globe gained last week, while looming concerns over China’s Evergrande pressured Chinese equities.

• The Federal Reserve announced that tapering bond buying will commence this year, and the interest rate hikes will be in 2022.

• China Evergrande missed payment deadline on dollar bond interest, while its electric car unit warned that it faced an uncertain future unless it got a swift injection of cash.

 

Silver

• Silver prices in LBMA and COMEX tested 9-moth lows, where the prices in both platforms hit USD22 per troy ounce.

• MCX active silver futures eased 0.06 percent last week.

• India’s spot price of silver in Mumbai fell 1.94 percent.

• Physical holdings of Silver backed ETFs with iShare silver trust poised for a fourth straight month decline.

Outlook

Optimism over global economic recovery, weak US dollar and stable equities continue to weigh down the short term sentiment of safe assets like silver. Hopes that the US Federal Bank may soon stop its bond buying program also influencing the broad outlook of the commodity. However, a possible industrial demand picks up especially from China, may dent major downside in the metal.

COMEX: A direct drop below $22 would trigger further liquidation in the counter. Else, there are chances of recovery rallies in near future.

MCX: If the support of Rs 59000 remains hold the downside, there are chances of recovery upticks. However, major upside obstacle is seen at Rs 75000. A close below Rs 59000 further liquidation pressure is on the cards.

 

To Read Complete Report & Disclaimer Click Here

 

Please refer disclaimer at www.geojit.com
SEBI Registration number is INH200000345

 

Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer