Silver rises again to $ 27.50 as the market bets on inflation and the US dollar falls

  • The silver prices they have risen in recent trades as the dollar is under pressure and inflation expectations rise.
  • The price of the pair have risen around the mark of the $ 27.50, whereas before they were closer to the $ 27.00.

The price of silver (XAG / USD) has remained higher in recent trades, amid a combination of a weak US dollar and a market that has been aggressively betting on higher inflation going forward.

XAG / USD rallied above the $ 27.00 level early in the Asian session on Monday, but then lost momentum and proceeded to consolidate around the important psychological level, until the arrival of US traders; Since 11:00 GMT, the precious metal has risen steadily again, rebounding just above $ 27.00 to record daily highs above $ 27.50. At this time, the XAG / USD is trading just below the $ 27.50 mark and is up a 2.0% or just over 50 cents a day.

Markets are betting on reflation

Since the precious metals are considered the ultimate hedge against inflation (that is, when fiat money loses value over time, the face value of precious metals often increases to compensate for it), higher inflation expectations are providing an advantage to the precious metals market . Silver, gold, palladium and platinum posted strong gains on Monday.

On the other hand, another favorable factor for gold has been the fall of the US dollar; in the last operations, the íDollar Index (DXY) has fallen below the level of 91.00, although the losses remain contained around the 0.1% during the day for now. Given the negative correlation that precious metals, such as silver, have with the dollar, this is also providing some support.

XAU / USD

Panorama
Today’s Last Price 1836.32
Today’s Daily Change 25.10
Today’s Daily Change% 1.39
Today’s Daily Opening 1811.22
Trends
SMA of 20 Daily 1842.94
SMA of 50 Daily 1858.09
SMA of 100 Daily 1871.81
200 SMA Daily 1854.15
Levels
Daily Preview Maximum 1815.23
Daily Previous Minimum 1792.08
Weekly Preview Maximum 1871.9
Weekly Prior Minimum 1785.02
Monthly Previous Maximum 1959.42
Minimum Previous Monthly 1802.8
Daily Fibonacci 38.2% 1806.39
Fibonacci Daily 61.8% 1800.92
Daily Pivot Point S1 1797.12
Daily Pivot Point S2 1783.03
Daily Pivot Point S3 1773.97
Daily Pivot Point R1 1820.27
Daily Pivot Point R2 1829.33
Daily Pivot Point R3 1843.42

.

You may also like