Analyst: Silver Rebound Faces Key Test Today
Odaily News Analyst Giuseppe Dellamotta stated that since last Tuesday, silver has been steadily rising, buoyed by hopes of a U.S.-Iran deal, while a weaker-than-expected non-farm payroll report has provided further support. However, the upward momentum appears to be waning and may require support from today's U.S. CPI data to sustain the rally.
The CPI data is crucial for the September FOMC decision and Fed Chair Warsh's speech at the Jackson Hole symposium. Market focus will be on the core CPI month-over-month figure, expected at 0.2%. A higher-than-expected reading could trigger short-term selling, with traders increasing rate hike bets. Conversely, weak or even in-line data should further reduce the risk of Fed tightening and provide fresh upside momentum for silver. (Jin10)
