For Traders

Analytical Reviews

17.02.202314:14 Forex Analysis & Reviews: Silver may have a cleaner downtrend compared to gold

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Better-than-expected economic data and persistently high inflation are prompting markets to revise their expectations for U.S. interest rates again, bringing the idea of a higher long-term federal funds rate back into the discussion.

According to the latest research from TD Securities senior commodity strategist Daniel Ghali, these conditions may continue to put pressure on the precious metals sector.

Ghali believes silver may be the best way to play the downtrend in precious metals. He added that a break below $20.80 would confirm the resumption of the downtrend.

Many analysts note that gold and silver are struggling as bond yields have risen significantly this month. The yield on 10-year bonds is currently 3.84%.

According to the CME FedWatch Tool forecast, in the first half of the year, federal funds rates will exceed 5%, and the decline will occur only by the end of the year.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.