Silver Rises Sharply After Trump-Xi Meeting
Silver prices rose sharply by more than 3% on Thursday, breaking through $48.5 per ounce, as traders digested the outcome of the meeting between US President Donald Trump and Chinese leader Xi Jinping. However, despite positive talks, the two sides have yet to reach a full agreement that would resolve the key issues in the US-China economic rivalry.
The Federal Reserve recently cut interest rates by 25 basis points to 3.75% to 4.00%, but comments from Fed Chairman Jerome Powell, who downplayed the possibility of further rate cuts in December, limited silver's upside potential. Furthermore, the ongoing US government shutdown has delayed the release of key economic data, making the market more sensitive to any new information.
Last week, silver prices fell more than 6% due to profit-taking after hitting a record high, but that decline provided an opportunity for the current technical rebound.
Source: Newsmaker.id