|
Silver jumps to 7-year peak, poised to rise further
Silver prices jumped on Monday to a 7-year peak, extending gains for the second straight day, amid expectations to rise further, after gold hit a new all-time high, and silver hasn't done as well.
Silver prices jumped 8.2% to the highest since August 2013 at $24.59 an ounce, after opening at $22.73, with a session-low of $22.67.
Silver gained 0.75% on Friday, after posting on Thursday its first daily loss in five days on profit taking.
Silver prices gained nearly 18% during the past week, posting the seventh weekly gain in a row, and the biggest gain in percentage ever.
This historic gain came thanks to retail investors' focus on the precious metal, as it's currently still undervalued compared to gold, in addition to the sharp drop in the US dollar.
Gold hit a new record today at $1,945.25 an ounce, while silver is still very far from reaching its all-time high of $ 49.78 that was hit in April 2011.
Silver movement has been historically more than gold in rising or falling, but this hasn't occurred in the recent period. But as more retail investors focusing on the white metal, demand is expected to increase, and prices are poised to jump higher.
Europe tumbles to 2-week low as travel sector comes under pressure
European stocks fell on Monday, to deepen losses for the fourth straight session, hitting nearly a 2-week low, due to a large drop in the travel and entertainment sector following the UK's decision to quarantine travelers returning from Spain after the surge in coronavirus infections.
MoreGerman business confidence rises more than expected in July
At 08:00 GMT, the IFO institute released its reading of the German business climate index for July at 90.5 points, higher than forecasts of 89.2, and also higher than the previous reading of 86.3. This data is positive for the Euro currency.
MoreGold consolidates above $1,900, hits all-time high
Gold prices rose in European trade on Monday, to extend gains for the seventh day, posting new record highs above the $1,900 barrier, thanks to strong safe-haven demand, and the US dollar's drop to 2-year low against its rivals.
More