Silver's spot price is down near $23.00/toz.
According to FXStreet, the cause is as follows:
On Wednesday, the XAG/USD Silver Spot price closed near $23.00, as the reports of strong US economic activity fueled expectations of a more aggressive Federal Reserve (Fed) for the remainder of the year.
US bond yields sharply rose, often seen as the opportunity cost of holding non-yielding metals. The rate for the 2-year bond increased to 5%, whereas the rates for the 5-year and 10-year yields are at 4.43% and 4.30%, respectively. In addition, the USD measured by the DXY index turned its course north after the release of August's ISM PMI and increased above 105.00, presenting further challenges to the metal. In addition, the Fed’s Beige Book from July and August from the US reported slower economic growth while it pointed out that the job growth remained “subdued.”
In addition, Wall Street didn’t welcome the ISM figures, and the S&P 500 dropped by nearly 0.80% to its lowest level in a week. The Dow Jones Industrial Average (DJI) and the Nasdaq Composite (NDX) also decreased, with losses between 0.50-0.80%.
Since things constantly change, what goes down, must come up. And vice-versa.
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