Silver prices rebounded back above $24.00 an ounce Tuesday, reversing Monday’s drop, as precious metals markets saw renewed strength.
Prices had dipped as low as $23.33 an ounce Monday as the market took a breather after a very strong week of gains. However, Tuesday saw prices once again push higher to test the recent high above $24.00 seen November 17.
The US dollar made losses against other key currencies at the start of this week, which helped propel dollar-denominated gold and silver prices higher. General expectations that central banks will avoid raising interest rates further have also provided recent support for the precious metals, and any avoidance of a recession would provide some confidence in demand for silver from the industrial sectors.
If the bullish momentum continues, the markets will be watching to see if the $24.00 level can hold, while any bearish retracement could offer a test of the November 13th dip to just below $22.00.
In the short-term, US durable goods orders for October are due out Wednesday, followed by the UK’s Autumn statement. Thursday will see the release of German manufacturing PMI flash data. Then on Friday, Japanese inflation figures are set for release as well as German Ifo business climate figures. Meanwhile, the wider financial markets are expected to see very low activity on Thursday and Friday due to the US Thanksgiving holiday.
Carlo is an external market analyst for Kinesis Money. With a credential background in Economic Finance and International Exchange (MA), Carlo’s critical analysis of gold and silver markets’ performance is frequently quoted by leading publications such as Forbes, Reuters, CNBC, and Nasdaq.
This publication is for informational purposes only and is not intended to be a solicitation, offering or recommendation of any security, commodity, derivative, investment management service or advisory service and is not commodity trading advice. This publication does not intend to provide investment, tax or legal advice on either a general or specific basis.
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