Silver Attracts Some Buyers Near $32.50 Ahead Of US Retail Sales Release
Silver (XAG/USD) prices traded in positive territory for the third straight day near $32.50 during the Asian session on Friday (2/14). Growing concerns about US President Donald Trump’s tariff policies continued to support the white metal. Traders are gearing up for US Retail Sales for January, due out on Friday.
US President Donald Trump has vowed to target countries that tax US imports by matching them with reciprocal tariffs. Late on Thursday, Trump ordered his administration to begin a study assignment in early April, fueling fears of a global trade war, boosting safe-haven assets such as Silver.
Data released by the US Bureau of Labor Statistics on Thursday showed that the Producer Price Index (PPI) rose 3.5% YoY in January, compared to a 3.3% increase seen in December. This reading was above market expectations of 3.2%. Meanwhile, the annual core PPI rose 3.6% YoY in January versus 3.7% (revised from 3.5%) previously, beating estimates of 3.3%.
The report reinforced the financial market view that the Federal Reserve (Fed) will not cut interest rates before the second half of this year. This, in turn, could support the greenback and weigh on USD-denominated commodity prices.
Source: FXStreet