Now MCX Silver is getting support at 38081 and below same could see a test of 37700 level, And resistance is now likely to be seen at 39125, a move above could see prices testing 39610.
Silver on MCX settled down -1.26% at 38573 as the dollar firmed on expectations of a U.S. interest rate increase in June. The U.S. Federal Reserve kept interest rates unchanged on Wednesday and downplayed weak first-quarter economic growth while emphasizing the strength of the labor market, in a sign it was still on track for two more rate rises this year.
U.S. companies hired workers at a slower but still-solid pace in April while the services sector grew more than expected, supporting the notion that economic expansion remains on track despite a weak first quarter, private reports showed.
The euro zone economy started the year with robust growth that outstripped that of the United States and set the stage for a strong 2017, preliminary estimates showed. Investors are awaiting Friday’s monthly U.S. non-farm payrolls report for greater signs of the Fed’s likely rate hike trajectory through the end of the year.
In the French elections, centrist Emmanuel Macron said French voters should expect verbal “hand-to-hand” combat when he and far-right candidate Marine Le Pen face off in a televised debate on Wednesday evening.
Fears that Le Pen could sweep to a surprise victory had buoyed gold in recent sessions due to its safe-haven appeal. Traders are pricing in a 70 percent chance of a June rate increase, according to the CME Group’s FedWatch Tool. — Gold Silver Reports