Breaking News

Silver futures rally more than 2% on global recovery hopes

CommoditiesSep 03, 2013 04:40AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items

Investing.com - Silver futures rallied on Tuesday, as market sentiment strengthened after upbeat economic data on Monday boosted the outlook for the global recovery.

On the Comex division of the New York Mercantile Exchange, silver futures for December delivery traded at USD24.13 a troy ounce during European morning trade, up 2.65%.

Silver prices traded in a range between USD24.02 a troy ounce, the session low and a daily high of USD24.28 a troy ounce.

Comex floor trading was closed Monday for the Labor Day holiday, and yesterday’s transactions will be booked with today’s trades for settlement purposes.

Silver prices were likely to find support at USD22.88 a troy ounce, the low from August 23 and at USD24.46, the high from August 29.

The outlook for the global recovery was boosted after data on Monday showed that Chinese manufacturing activity expanded for the first time in a year in August.

In the euro zone, reports showed that manufacturing activity in Spain and Italy returned to growth for the first time since 2011, fuelling optimism over the global economy.

Manufacturing is a key driver of silver demand as it is used in solar panels and electronics as well as jewelry.

Silver traders now looked ahead to key macroeconomic data later this week that will determine when the U.S. will begin withdrawing its stimulus measures.

The U.S. will release a closely watched report on U.S. nonfarm payrolls on Friday amid ongoing speculation over when the Federal Reserve will start to taper its USD85 billion-a-month bond-buying program.

Market players have closely been looking out for U.S. data reports recently to gauge if they will strengthen or weaken the case for the Fed to reduce its bond purchases.

Any improvement in the U.S. economy was likely to reinforce the view that the central bank will begin to taper its bond purchase program in the near-term.

The central bank is scheduled to meet September 17-18 to review the economy and assess policy.

Elsewhere on the Comex, gold for December delivery shed 0.6% to trade at USD1,387.40 a troy ounce, while copper for December rallied 1.85% to trade at USD3.293 a pound.

Silver futures rally more than 2% on global recovery hopes

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post also to:
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post 1000
Please wait a minute before you try to comment again.
Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Add Chart to Comment
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email