MCX Silver tumbles on US Job Data

MUmbai-India  (Mar 7)   Silver futures for May delivery on India's Multi Commodity Exchange (MCX) have begun to tumble on robust job data from US.

United States monthly unemployment rate has fallen to a five-year low of 7.7 percent, while payrolls have increased more than expected, indicating bearish trend for bullion.

Since futures have gone below 54200, a crucial support, it may move further down and can touch 53000 levels, according to analyst.

MCX silver futures for May delivery was down by 1.15 percent at Rs.54028.00 per kilogram as of 06.34 PM IST on Friday.

Yesterday, silver remained unchanged despite the news that the European Central Bank will leave interest rates unchanged at 0.75%. While, Bank of England didn't made any changes to the size of its GBP375 billion asset-purchasing program.

In February 2013, the U.S. Mint sold almost 3.7 mn ounces of silver in coins against 1.49 mn ounces of silver in February 2012, an increase of more than 148%.

Comex silver futures for May delivery was down by 1.27 percent at $28.450 per troy ounce as of 07.06 PM IST on Friday.

Source: Commodity Online