Silver closed marginally down yesterday, dragged down by weak bullion prices and metals also lowering on weak durable goods orders report from the U.S. Copper fell further from its recent record high.
However, rising oil prices were a little support for precious metals.
Key Observations
Silver futures for March-delivery closed down by 0.19% to $29.30/oz yesterday.
Participation remained weak in markets amid ongoing holiday season in the U.S. Commodities markets in the U.S. closed early Thursday.
The dollar traded mostly lower as durable goods order fell more than expected and new home sales also posted less-than-expected rise.
The dollar index slipped as much as 0.48% to 80.337 levels during intra-day sessions, but later closed 0.25% down at 80.522 levels. U.S. stock markets were little changed amid a mixed bag of economic data that left investors with little reason to make significant change in their positions ahead of holiday.
The benchmark MSCI World Index for stocks was little changed by 0.02%. iShares Silver Trust maintained its holdings at 10903.34 MT yesterday.
MCX silver futures for March-delivery traded lower for most of sessions, but recovered by the close. Prices ended marginally higher at `44,430/kg yesterday.
Rupee fell to 45.1650/USD and supported domestic silver futures.
Outlook
Commodity markets (both floor trading and Globex) in the U.S. are shut today in observance of Christmas holiday.
Domestic silver futures will lack direction from international markets and thus, may trade sideways. In such conditions, rupee movement will be lone driver for domestic silver prices.
