Weekly Analysis for Silver & Base Metals
MUMBAI-INDIA (July 21) Silver closed a very active week at 19.478 off the high of the week on Wednesday at 20.133. Silver traded in a tight range from 19.21 to 20.13 but continued to bounce from the top to the bottom of the range as the US dollar bounced around and the demand for industrial metals shifted. Precious metals were slightly up for the week, but not enough to pull silver above the 20 range.
As the weeks session is to desist commodities and equities across the globe is witnessing a choppy trading on profit booking. Bullion inched higher towards $1294 an ounce bolstered by the US Fed Chairmans comments on economic stimulation program yesterday, weak dollar and a rally in Japans gold futures. MCX gold futures traded flat while silver prices are down.
Lack of triggers schlepped base metals to lower levels with the Lead and Copper are the worst hit counters in MCX. In LME, barring Nickel other base metals are trading with negative sentiments. On the domestic front Indian equity benchmark indices ended the session flattish on a cautious note as finance officials and bankers from G20 nations are gathering in Moscow to discuss slow economic recovery, unemployment and, market volatility later in the day.