Silver Prices Edge Lower, but on Track for Weekly Gain
London (June 30) Silver edged lower on Friday but was on track for a weekly gain as capital flowed back into the commodity after a volatile month.
Silver for September settlement declined 5 cents, or 0.3%, to $16.60 a troy ounce at 7:25 a.m. ET. The grey metal traded within a narrow range of $16.63 and %16.71 through the overnight session.
The grey metal is up 0.7% for the week, but is down from a recent high of $16.79.
Gold prices were little changed Friday, with the August futures contract hovering at $1,244.30 a troy ounce. Bullion is on track for a narrow weekly decline after running into volatility on Thursday.
Gold’s premium over silver has declined sharply as a result. As of Thursday’s close, one ounce of gold was worth 75.02 ounces of silver.
Precious metals failed to capitalize on a plunging U.S. dollar, which is on track for a weekly loss of 2%. The greenback is trading near nine-month lows against a basket of world currencies. The dollar index (DXY) was last down 0.1% at 95.54.
A bevy of economic releases flooded the financial markets overnight. Japanese inflation data showed further signs of progress during May, with core consumer prices rising for a fifth straight month.
A separate gauge of Japanese industrial production declined more than expected, tempering expectations of a broad pickup at the factory level.
Meanwhile, momentum returned to the Chinese economy at the end of the second quarter, with broad gauges of manufacturing and services activity rising.
Source: EconomicCalendar
