- Silver price falls vertically to around $22.40 following upbeat US durable goods orders data.
- Fed Chairman Kashkari said raising rates further seems justified and that it is necessary to keep them high to cool the situation.
- The Dollar Index extends its bullish run and prints a new 11-month high at 106.60.
The price of the Silver (XAG/USD) fell to around $22.45 early in the New York session following the release of encouraging August durable goods orders data. The economic data rose a surprising 0.2% compared to expectations of a 0.5% decline. In July, orders suffered a sharp contraction of 5.6%, at a difficult time for the US manufacturing sector.
The surprising increase in orders for basic goods indicates that demand prospects are improving and that companies are coming to terms with fears of an interest rate hike by the Federal Reserve (Fed). The US manufacturing PMI has a long period of steady declines, and a surprise increase in orders for basic goods could improve factory activity, making the US economy more resilient.
For his part, Minneapolis Fed President Neel Kashkari said there is a risk that interest rates will have to rise, but added that it is difficult to know. Earlier, Fed Governor Kashkari commented that the economy is fundamentally much stronger than anticipated. Therefore, raising rates further seems justified and they need to stay high to cool things down.
The US Dollar Index (DXY) extends its bullish journey and prints a new 11-month high at 106.60 points. US 10-year Treasury yields recovered to near 4.54%.
Silver technical analysis
Silver extends its decline near the support zone drawn in a tight range of $22.24 – $22.30 on a two-hour scale. The downward slope of the 20-period EMA at $22.87 indicates that the short-term trend is bearish.
The Relative Strength Index (RSI) (14) is moving towards the bearish range of 20.00-40.00, justifying further declines.
Silver Two-Hour Chart
XAG/USD
Overview | |
---|---|
Latest price today | 22.5 |
Today Daily variation | -0.36 |
Today’s daily variation | -1.57 |
Today’s daily opening | 22.86 |
Trends | |
---|---|
daily SMA20 | 23.36 |
daily SMA50 | 23.59 |
SMA100 daily | 23.57 |
SMA200 daily | 23.47 |
Levels | |
---|---|
Previous daily high | 23.14 |
Previous daily low | 22.85 |
Previous weekly high | 23.78 |
Previous weekly low | 22.81 |
Previous Monthly High | 25.02 |
Previous monthly low | 22.23 |
Daily Fibonacci 38.2 | 22.96 |
Fibonacci 61.8% daily | 23.03 |
Daily Pivot Point S1 | 22.76 |
Daily Pivot Point S2 | 22.66 |
Daily Pivot Point S3 | 22.47 |
Daily Pivot Point R1 | 23.05 |
Daily Pivot Point R2 | 23.24 |
Daily Pivot Point R3 | 23.34 |
Source: Fx Street

I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.