WILL THE PRICE OF SILVER DROP?
Following the US markets, which spent the past week well above expectations, the upward momentum, which showed a deterioration in US 10-year bond yields, retreated below 1.6 percent. Following this development, while the entry into safe investment instruments was triggered, it is seen that the suspension of the dollar's gains on a global scale triggered precious metal rises. While it is seen that the inflation data that exceeded the expectations in the USA triggered the outflows in the dollar, it can be said that this effect reversed the fall potential in silver.
In the USA, especially with the Michigan Consumer Confidence Index increasing over 1 year, the drop in weekly unemployment pension applications to 576 thousand people, the lowest level seen after the pandemic, increased the positiveness in the markets. It can be said that the increasing tension between the USA and Russia in the markets has also increased the demand for commodities.
With all these developments, it is seen that the activity above this level is difficult to be permanent in silver, which has risen above the level of 26.0. With the commodity maintaining its movement above the 25.50 level, it can be expected to gradually maintain its bullish potential up to the 26.0 and 26.50 resistance levels. However, it is useful to consider the 25.0 and 24.50 support levels in the closing that may be experienced below the support level of 25.50.