Silver Today Silver futures declined by 1.22% which is a loss of $0.29 per ounce taking the most active July contract to $23.695. Silver was also able
Silver Today
Silver futures declined by 1.22% which is a loss of $0.29 per ounce taking the most active July contract to $23.695. Silver was also able to hold onto gains weekly. Silver futures opened at approximately $29.42 on Monday taking silver’s weekly gain just above $0.25. Silver’s decline was less than gold’s decline weekly. At least for today, selling pressure was muted when compared to gold due to a strong performance in US equities leading to higher demand for silver used in industry.
Job Report Implications on Future Rates and Recession Probability
Although today’s better-than-expected jobs report lowered the probability that the Federal Reserve will begin a rate hike pause this month, the probability of a pause is still remarkably high. The CME’s FedWatch tool predicts that there is a 73.6% probability of a rate hike pause down from 79.6% yesterday. The CME’s FedWatch tool estimated a 35.8% probability of a pause a week ago.
The caveat to today’s jobs report was in the estimates by Wall Street as May typically shows strong numbers in new jobs added as employers begin to higher seasonal summer jobs. The strong jobs report also lessened the probability of a recession down the road.
While the probability of an interest rate pause by the Federal Reserve at the June 14-15 FOMC meeting remains exceedingly high today’s jobs report increases the likelihood of a rate hike “Hop” in which the Federal Reserve pauses interest rate hikes this month but remains open to further hikes this year.
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Wishing you as always good trading,
Gary S. Wagner
amp.fxempire.com