A-Mark Bullion Update
Disappointing US Non-Farm payrolls figures on Friday allowed equities and commodities to finish the week on a strong note. The weaker US data made the probability of a Fed rate hike by the end of the year much more unlikely, encouraging market participants to immediately pump funds into assets. Silver, which had been trending lower, erased all of its weekly losses on Friday. As usual, it caught traders off guard and continued its very impressive run higher yesterday and today. Since the open on Friday morning, silver has moved up nearly 10% and has cleanly broken through its 50 and 100 day moving averages. It is currently flirting with resistance at its 200 day moving average of $16.01. After such a quick and unexpected move higher over the last few days though, I would expect some selling pressure to emerge up here.
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Lynette Zang
Chief Market Analyst, ITM Trading