MCX Silver sideways to bullish; resistance 40800

MUMBAI-INDIA (July 10)  The trend in silver futures for September delivery on India's Multi Commodity Exchange (MCX) looks sideways to bullish for the day.

For intra-day, support for the commodity is seen at 40000 while 40800 is the resistance. If prices break the level of 40800 then it is expected to move towards 41500 and 42000 levels, according to our analyst at Commodity Online.

MCX silver futures for September delivery was seen trading down by 0.22% at Rs. 40298 per kilogram as of 05.36 PM IST on Tuesday.

U.K factory output declined for the second consecutive month in May. U.K. Office for National Statistics stated on Tuesday, that manufacturing activity fell by 0.8% in May when compared to the projections for a 0.3% increase.

Chinese Consumer Price Index (CPI) rose more-than-expected in June. National Bureau of Statistics of China stated that Chinese CPI rose to an annual rate of 2.7%, from 2.1% in the preceding month.

Chinese producer price index (PPI) continued its negative trend and recorded a fall of 2.7% in June. Also, Chinese consumer price index rose to 2.7% in June from 2.1% in May, year-on-year basis, according to the data released by the National Bureau of Statistics of China.

Traders are awaiting yearly data on Chinese imports, exports and trade balance which are scheduled to be released on Wednesday.

Concerns that US Federal Reserve may roll back its monetary stimulus on recovering economic growth in the United States is putting pressure on the white metal prices to certain extent.

Silver futures for September delivery on Globex platform of Comex was seen trading down by 0.67% at $19.170 per troy ounce as of 05.48 PM IST on Tuesday.