The silver market cooled down mainly at the beginning of last week. The recent disappointing non-farm payroll report didn’t pull back up (by much) the price of silver. Moreover, even the latest surprise from the ECB to slash its rate didn’t seem to have much of an impact on the silver market. Looking forward, will this week’s job openings and labor turnover survey (JOLTS) report pull up silver?
During the previous week, the price of silver fell by 1.7% to reach $19.1. The silver ETF iShares Silver Trust (SLV) also declined by 1.5%. Silver related companies such as Silver Wheaton (SLW) also fell by 3.5%.
Despite the recent fall in the price of silver, the standard deviation of silver prices remained relatively low in the past few months (compared to the beginning of the year), as indicated in the chart below.
If this low volatility continues in the coming weeks, this could suggest the price of silver won’t move much from its current price of level.
Is the U.S labor market slowing down?
The latest U.S non-farm payroll report showed only 142,000 jobs were added in August – the expectations were close to 222,000 and the ADP projected 204,000 jobs. This news, however, didn’t seem to have much of an impact on the silver market.
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