Silver Boosted Above $22.50 By US Jobs Data

Silver Boosted Above $22.50 by US Jobs Data

Last week was fairly uneventful for silver, which moved only marginally higher after the United States avoided a debt default and ended its government shutdown. This week, however, other news from the US elicited a more positive reaction from the white metal.

On Monday, silver traded between $22.07 and $22.30 as investors waited for the release of US jobs data. Kitco's Jim Wyckoff reported at the time that the release of that and other data "could make for more volatile price action in many markets that had seen a dearth of fresh U.S. economic/fundamental news" during the shutdown.

For silver, the data turned out to be positive. Tuesday morning, the white metal rose quickly from $21.97 to $22.81 on the news that US non-farm payrolls rose by 148,000 last month, lower than the 180,000 expected by analysts. The weaker number sparked expectations that the Federal Reserve will continue its stimulus program into 2014, according to Reuters.

Since then, silver has remained above $22.50, hitting a high point of $22.70 on Wednesday and a high of $22.83 today. And, while Capital Trading Group notes in its Wednesday report that "the optimism off the pushing back of tapering expectations seems to have run its course," silver does not seem ready to move back downward just yet.

The white metal ultimately closed Thursday at $22.72.

The results are in...

Last week, when Silver Investing News asked readers whether increased Indian demand for silver is likely to push silver prices up, the overwhelming response was "yes." Here's a breakdown of the results: 71.69 percent of voters said higher Indian demand will push prices up 11 percent of voters said higher Indian demand will not make a difference 16.87 percent of voters said it's too soon to tell