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According to the Philippine Institute of Volcanology and Seismology, a 5.3-magnitude earthquake occurred in the eastern waters of Davao Oriental Province in the southern Philippines at around 21:59 on March 1, with a focal depth of 10 kilometers. The earthquake was felt in many nearby areas. The earthquake is not expected to cause damage, but there will be aftershocks.On March 1, the official website of Ant Group was updated to show that Han Xinyi, the former president of Ant Group, officially took over as CEO of Ant Group.On March 1, data from FlightAware, a flight tracking website, showed that a Ukrainian government plane had taken off from a military base near Washington and flew to the UK. According to Ukrainian media reports, the plane was used by Ukrainian President Zelensky. It is reported that British Prime Minister Starmer proposed to hold a meeting in London on March 2 to discuss how to deal with the "breakdown" of the meeting between Trump and Zelensky on the 28th. More than a dozen European countries and EU leaders, as well as Zelensky, will attend the meeting.The National Highway Traffic Safety Administration (NHTSA) said Volkswagen of America is recalling 60,490 vehicles.March 1, local time on February 28, French President Emmanuel Macron said during his visit to Portugal that there was little hope of making progress on the tariff issue after meeting with US President Trump. Macron also said that if the United States decides to impose a 25% tariff on Europe, Europe will respond "equally". Macron said that although the imposition of reciprocal tariffs will lead to inflation and no country will benefit from it, the EU must protect itself.

Prediction for Silver Price: XAG/USD falls below $20.00 on risk aversion

Alina Haynes

Oct 11, 2022 14:22

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The silver price has fallen below the 100-day exponential moving average for four consecutive days due to a risk-off impulse triggered by the US central bank's forecasts for additional tightening, tensions emanating from the US-China chip embargo, and the aggravation of the Russia-Ukraine conflict. Therefore, traders seeking security kept the dollar in the lead. At the time of writing, the XAG/USD exchange rate is $19.59 per troy ounce, a decrease of 2.50%.

 

US markets ended the day in the red, extending their four-day losing streak. Monday's paucity of economic data releases in the United States forces market participants to rely on Federal Reserve speeches delivered by Vice-Chair Lael Brainard and Chicago Fed President Charles Evans.

 

Brainard stated that despite the fact that the US economy slowed "more than anticipated," many sectors continue to lag behind the effects of monetary policy. She stated that monetary policy must be tight for some time in order to ensure that inflation would return to the Fed's target level.

 

Previously, Charles Evans stated that the U.S. central bank may be able to lower inflation while avoiding a recession. He predicts that the Federal funds rate (FFR) will peak around 4.5% in early 2023 and remain elevated for an extended period of time.

 

The US Dollar Index increased by 0.35 percent to 113.145 as the situation between Russia and Ukraine escalated during the course of the day. In addition, the US embargo on semiconductors to China is anticipated to provoke reaction from one of the strongest economies in Asia.

 

Noting that the US bond market is closed is important, but there was no justification for the precious metals' poor start to the week. The yield on 10-year US bonds is currently 3.961%, whereas 10-year US Treasury Inflation-Protected Securities (TIPS) will open on Tuesday yielding 1.62 %.

 

Despite this, most traders anticipate the release of US inflation data on Thursday. On a monthly basis, expectations are 0.2% over the previous figure, while on an annual basis, they are 8.1% due to dropping energy prices. Regarding core inflation, which excludes food and energy, the MoM is anticipated to decline by 0.4%, less than August's, while the YoY is anticipated to increase by 6.5%, greater than August's 6.3% increase.

 

The XAG/USD fell below the 100-day exponential moving average at $19.95, extending its losses close to the 20-day EMA at $19.53. Notably, the Relative Strength Index (RSI) is approaching the 50-midline, which, if breached downwards, would indicate that sellers are gaining strength. Then, the XAG/initial USD's support would be the previously mentioned 20-day EMA, followed by the 50-day EMA at $19.40, which, once cleared, could pave the way for a retest of the daily low of $17.97 from September 28.


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