Silver’s rally of last week did not continue this week, as the gray metal was mostly range-bound. Monday’s silver prices opened 1.8% lower at $17.50 per ounce, while gold hit a 15-month high. The precious metals appear to dance around each other lately, as this week was gold’s week to shine. Silver pulled back this week but did not slip below $17.10 per ounce.
The rest of the week was fairly uneventful for silver, as minor price swings kept the gray metal trading without much notability. The same factors that affected gold this week also influenced silver, including weak U.S. economic data on Wednesday and Friday, which led analysts to conclude that the Federal Reserve is unlikely to raise interest rates in June. This is positive for both metals.
In April, the silver price rose to one-year highs amid a month-long show of strength. May has opened much softer, though the fundamentals are still in place for silver to follow gold, as the precious metals market could see a continued rally going forward.