Oil Price Jumps to $120, While Silver Tries to Rebound

Commodity traders are mostly focusing their attention on oil. Both WTI and Brent, the two main benchmarks for the price of oil, jumped to $120 per barrel. Despite OPEC increasing production, investors are still betting on a supply deficit, or, very strong demand.

Moreover, as the war between Russia and Ukraine continues, and sanctions are maintained, further consequences are being felt in the energy supply chain, particularly in Europe.In the last few days, there has been a decline in the price of wheat and corn, as investors are seeing some chances for an agreement on a corridor from Ukraine.

Live Silver Price – $/oz

After the initial rebound to $22.4, the silver price later declined, posting another week in red (-0.50%). Indeed, in the final part of last week, the silver price fall below $22 once more, confirming a temporary weakness in comparison with gold (which has gained 0.35% on a weekly basis). The ratio between the two metals is now at 84. This means that over 84 ounces of silver are needed for buying an ounce of gold.

The new week started positively. In this morning’s early trading, silver recovered, jumping to $22.2-22.3 per ounce, which presents an encouraging signal. From a technical point of view, a signal of strength would be presented with a surpass of last week’s top, at $22.4-22.5 per ounce.

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