July 15, 2020 COMEX Metal inventory

[SMM Silver Weekly Review: Silver Prices Drop Nearly 5% This Week as Rate Hike Concerns and Geopolitical Stalemate Drive Weakness] Silver prices fell sharply this week, dropping nearly 5%. Stronger-than-expected US PMI data and hawkish remarks from US Fed officials fueled rate hike concerns, with a stronger dollar and rising US Treasury yields weighing on valuations. Hopes for geopolitical de-escalation failed to materialize, and rising oil prices intensified inflation worries. However, a marginal dovish shift in US Fed commentary, a pullback in oil prices, and record-high ETF open interest provided bottom support. The spot market saw thin trading ahead of the holiday, with bid-ask price spreads widening. In the near term, silver prices are likely to consolidate on a weak note after the sharp decline, with the trend direction awaiting validation from PCE and non-farm payrolls data.