Source: FX Empire
Security & Justice
Southern Lebanon Endures Massive Damage: 40,000 Homes Leveled Across 37 Towns
Israeli forces have systematically destroyed entire neighborhoods in southern Lebanon, leveling more than 37 towns and wiping out over 40,000 residential units, according to Lebanon's National News Agency.
Tuesday, November 5, 2024
Gaps in Coastal Radar Enabled Israeli Raid in Batroun, Army Commander Says
Lebanon’s army chief, General Joseph Aoun, detailed to Caretaker Prime Minister Najib Mikati how Israeli forces likely exploited gaps in the country's coastal radar system during the recent raid carried out in Batroun. The briefing comes as Lebanese officials seek answers on how Israel’s elite Shayetet 13 unit carried out the landing undetected.
Monday, November 4, 2024
Opinion
My Hope for Lebanon
A company of Lebanese soldiers assigned to maintain order in this anxious wartime capital is gathered at its headquarters 100 yards from the Mediterranean. I make the blunder of asking their commander how many of his men are Shiites, Sunnis, Christians and Druze.
Monday, November 4, 2024
The Emptying of Baalbek Is a Moment to Take Stock
“Large numbers of people continue to flee their homes every day, as Israel’s military operations in Lebanon have been going on unabated.” These disturbing words could be from almost any news report about Israel’s invasion of its northern neighbour over the past month. However, they can be found in a report by the Norwegian Refugee Council’s Internal Displacement Monitoring Centre issued on July 27, 2006.
Saturday, November 2, 2024
Sports
FC Barcelona Fears First Team Star Will Be Banned From Playing, Reports SPORT
FC Barcelona is concerned that one of its main first-team stars will be banned from playing at the turn of 2025 because of issues related to his registration and Financial Fair Play (FFP) limits according to SPORT, which cited anonymous sources.
Friday, November 1, 2024
Tottenham Forward Son Heung-min Crowned Asia’s International Player of the Year
Tottenham forward Son Heung-min was crowned as Asia’s International Player of the Year for the fourth time by the Asian Football Confederation at its annual awards ceremony Tuesday.
Wednesday, October 30, 2024
Sunday 24 March 2024 12:21:16
Silver Prices Forecast: Is XAG/USD Poised for Correction Amid Divergence from Gold?
Silver's decline contrasts gold's performance amid rising yields, strong Dollar.
Silver Market Divergence
Silver prices experienced a notable decline last week, ending a three-week rally, contrasting with gold’s robust performance and record highs. This divergence highlights silver’s unique market position, distinct from gold, cryptocurrencies, and equities.
Last week, XAG/USD settled at $24.67, down $0.51 or -2.02%. This is down from a weekly high of $25.78.
Investment Flows and Demand Dynamics
Despite central bank buying strongly supporting gold, silver has not enjoyed similar demand, primarily depending on smaller speculators. Silver’s attractiveness as an investment was challenged last week by rising U.S. Treasury yields and a strengthening U.S. Dollar. The precious metal also faced competition from cryptocurrencies and equities for investment funds.
Federal Reserve Influence and Price Movements
Silver initially rose, reaching a three-month peak, influenced by the Federal Reserve’s expectation of three rate cuts in 2024. However, it closed the week lower as the U.S. Dollar firmed. A strong dollar makes silver costlier for holders of other currencies. Silver benefits from low interest rates due to its zero yield nature, with a 71% likelihood of a June rate cut currently priced in, up from 60% before the Fed’s decision.
Technical Outlook and Investment Trends
Silver’s surge into overbought territory indicates a potential cooling of its rally, with $23.85 as a crucial support level. Despite inflows into gold hitting a nearly year-high, silver has seen less participation in these investment trends.
Weekly Forecast and Market Sentiment
The weekly closing price reversal top suggests a selling pressure, indicating that investors might favor buying dips over pursuing rising prices. The evidence points towards family offices and proprietary trading shops having increased their short positions significantly prior to the FOMC meeting, potentially signaling a local peak for silver.
In conclusion, the divergence between silver, gold, stocks, and cash flows underlines the unique market position of silver. With central banks leaning towards rate cuts, nominal assets like stocks and gold have thrived, yet silver’s trajectory remains distinct, influenced by a different set of market dynamics and investor behaviors. The upcoming week’s market activity will be crucial in determining silver’s short-term direction.
