Silver Price Forecast: Fed Rate Hike Fears Keep Silver Trapped Below $72
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Key Points:
- Jackson Hole increased expectations of a September rate hike and pressured silver prices.
- Silver must break above $72 to restore its bullish momentum.
- The upcoming U.S. jobs and CPI data will help determine the next major move.
Silver (XAG) prices ended the week under pressure as the price failed to break above the key resistance at $72. The hawkish message from Jackson Hole increased expectations of a September rate hike and pushed the U.S. dollar and Treasury yields higher. This backdrop may keep silver weak in the short term, but the long term structure remains constructive above the $40 to $50 support area. The next move will depend on the upcoming U.S. jobs and inflation data along with signals from the gold-silver price ratios.