Silver Fundamental Analysis
Bloomberg—Silver climbed toward $52 per ounce on Wednesday, reaching its highest level in almost two weeks. This move came after weak US economic data increased hopes for a Federal Reserve rate cut in December.
US retail sales grew less than expected in September, and consumer confidence fell sharply in November. Together, these signs point to softer spending after months of strong demand.
At the same time, the job market showed new signs of stress. ADP reported that private employers cut an average of 13,500 jobs per week in the four weeks ending November 8, marking a clear slowdown from earlier trends.
Because of this data, markets now see about an 84% chance of a 25 bps rate cut next month, up from 50% just a week earlier. In addition, reports suggest that Kevin Hassett, the White House National Economic Council Director known for supporting lower interest rates, is currently viewed as the top candidate to become the next Fed chair.
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