Silver Prices Extend Rally After Strong Jobs Data

David Becker
Updated: Mar 4, 2022, 17:25 GMT+00:00

Silver prices move higher amid growing supply concerns over precious metals.

Silver Prices Extend Rally After Strong Jobs Data

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Silver prices rose as the Russia-Ukraine conflict continues to cause increasing precious metal prices. US benchmark yields decline following the jobs report, with the 10-year yield dipping five basis points to 1.7%. Palladium price jump 6.84% amid supply fears. Gold prices also moved higher in light of supply fears.

Technical Analysis

On Friday, silver prices rose over continued supply concerns due to the Russia-Ukraine conflict. Support is seen near the 10-week moving average near 23.54. Resistance is seen near the 50-week moving average near 24.56. Short-term momentum turned positive as the fast stochastic generated a crossover buy signal. The fast stochastic prints a reading of 97.56.

Medium-term momentum is positive as MACD (moving average convergence divergence) index had a crossover buy signal. This scenario occurs when the MACD line (the 12-day moving average minus the 26-day moving average) crosses over  signal line (the 9-day moving average of the MACD line). The MACD histogram prints in positive territory with an upward trajectory.

Non-farm Payrolls Beat Expectations in February

Non-farm payrolls increased by 678,000 in February, and the unemployment rate fell to 3.8%. Both readings beat expectations. Wall Street estimated that jobs would be 440,000 and 3.9%. Leisure and hospitality sectors led job gains, followed by healthcare and professional and business services.

About the Author

David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.

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