Yahoo Finance Silver Prices Slide on Weak Industrial Production Figures
Silver prices moved lower on Friday but finished the week in the black up 2.3%. The dollar rebounded on Friday, putting downward pressure silver prices. U.S. Treasury yields rallied despite mixed economic data. The 2-year Treasury yields hit a pre-pandemic high while the interest rate curve flattened. Retail sales were softer than expected as online spending declined. Import prices dropped while industrial production unexpectedly fell.
Technical Analysis
On Friday, silver prices moved lower as the precious metals complex turned lower. Resistance is seen near the 50-day moving average at $23.19. Support is seen near the 10-day moving average at 22.76. Short-term momentum has turned negative as the fast stochastic generated a crossover sell signal. Medium-term momentum has turned positive as the MACD (moving average convergence divergence) index generated a crossover sell signal. This scenario occurs as the MACD line (the 12-day moving average minus the 26-day moving average) crosses below the MACD signal line (the 9-day moving average of the MACD line).
Industrial Production Unexpectedly Declines
Industrial production fell 0.1% in December compared with the previous month, the Federal Reserve reported Friday. Expectations had been for factory output to grow 0.2% during the month. In November, industrial production rose by an upwardly revised 0.7%.
This article was originally posted on FX Empire
