XAG/USD hits fresh long-term highs at $42.45
Silver’s (XAG/USD) broke higher on Thursday and has reached a fresh 14-year high at $42.45, favoured by US Dollar weakness after US Jobless Claims and CPI data paved the path for a Fed rate cut next week.
US Initial Jobless Claims rose at their fastest pace in the last four years last week, which, together with the downward revision of the Nonfarm Payrolls data reported earlier this week, highlights the deterioration of the US labour market.
At the same time, August Consumer Prices index broadly met market expectations, with a 2.9% year-on-year reading from the 2.7% increase seen in July, while core inflation remained steady, at a 3.1% yearly pace. These figures have curbed hopes of a 50 bps rate cut but keep expectations of a quarter-point easing move alive.
Source : Fxstreet