Technically Silver market is under short covering as market has witnessed drop in open interest by 11.36% to settled at 7655 while prices up 330 rupees.
Now MCX Silver is getting support at 47552 and below same could see a test of 46987 levels, and resistance is now likely to be seen at 48436, a move above could see prices testing 48755.
Silver yesterday settled up by 0.69% at 48116 as support seen after a spike in coronavirus cases dented demand for riskier assets.
Even a gradually spreading second wave of the coronavirus could force consumers back indoors and undercut an economic recovery, Fed’s Raphael Bostic said.
The IMF forecast a deeper recession for this year and a slower and uncertain recovery for next year after the coronavirus, plunged the global economy into a crisis like no other.
The IMF predicts that the global economy will shrink 4.9% this year, significantly worse than the 3% drop it had estimated in its previous report in April.
The IMF predicts that US gross domestic product will fall as much as 8% this year, even more than its April estimate of a 5.9% drop. The European Central Bank will offer euro loans against collateral to central bank outside the euro area to backstop funding markets amid the coronavirus pandemic, it said.
Under the Eurosystem repo facility for central banks, the ECB will provide euro liquidity to a broad set of central banks outside the euro area against adequate, euro-denominated marketable collateral, the bank said in a statement.
--Silver trading range for the day is 46987-48755.
--Silver prices gained as support seen after a spike in coronavirus cases dented demand for riskier assets.
--The IMF forecast a deeper recession for this year and a slower and uncertain recovery for next year.
--The IMF predicts that the global economy will shrink 4.9% this year, significantly worse than the 3% drop it had estimated in April.
Courtesy: Kedia Commodities