Gold 
“Silver prices had been moving essentially in a sideways fashion between $22 and $23.72 since the start of this year. Prices broke out of this range, to the upside, on Monday 4 March. A sharp move higher in gold played an important role in helping silver prices break out of this range.
Silver prices could test $25, building on the momentum of the past few trading sessions. The recent increase in silver prices is at risk from underlying strength in employment or inflation figures for February. While the labor market has come more into balance and inflation figures have retreated from the highs seen in 2022, there still are renewed signs of strength in wage growth and strength in core services inflation, which could force the Fed to keep rates higher for longer than the market is expecting.
This coupled with a reduced positive impact from the typical seasonal strength in prices at this time of the year could act as a headwind to silver prices in coming months. The silver market has good support at the $22 level, but a brief decline to $21 over the next few months should not be ruled out.
The ongoing economic strength should help provide support to fabrication demand for silver. Additionally, demand for silver from the solar power industry also is expected to be strong. While fabrication demand plays an important role in supporting silver prices, if investment demand softens in the near term it would weigh on prices.”
*This information is solely an excerpt of a third-party publication and is incomplete. Please subscribe to the referenced publication for the full article. This is not an offer to buy or sell precious metals. Investors should obtain advice based on their own individual circumstances and understand the risk before making any investment decision.
