Silver prices have fallen over recent weeks on aggressive Fed hiking expectations and strong USD bids. This has led to notable selling pressure in both gold and silver. This week on Tuesday economists are predicting that US inflation will fall to 8.1% for the second consecutive fall. Remember that this forecast has been meaning silver has found some relief from expectations for falling inflation. However, if the headline inflation print comes in above 8.3% that will revive concerns over the need for continued aggressive hiking action.
This could result in some more silver selling in line with a period of seasonal weakness ahead.
Major Trade Risks: The major risk here is if inflation prints in as forecast or even lower. In that instance, silver prices could continue their recovery higher this week on relief that inflation appears to be dropping.
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