Silver on MCX settled down -0.15% at 42836 amid a rise in the dollar as market players awaited further hints on the timing of the next U.S. rate hike. San Francisco Fed President John Williams warned Tuesday that the global drop in interest rates since the financial crisis is likely to persist and will make it harder for central banks to keep world economies healthy.
Philadelphia Fed President Patrick Harker suggested he would support an interest rate increase at a mid-March policy meeting as long as inflation, output and other data until then continue to show the U.S. economy is growing. Minneapolis Fed President Neel Kashkari on said the U.S. labour market has "more room to run", suggesting he does not believe the central bank should raise rates quickly to head off inflation. Also on the radar is President Donald Trump's address to Congress on Feb.
28, which analysts and traders hope will offer details on infrastructure spending and tax cuts. Bank of England Governor Mark Carney faced a challenge its fundamental assumptions about Britain's economy, which helps it justify keeping interest rates at a record low. Market participants’ turn their attention to the minutes from the Fed’s January meeting, due to be released on Wednesday, for clues on the likelihood of a March interest rate hike.
Technically market is under long liquidation as market has witnessed drop in open interest by -6.29% to settled at 10610 while prices down -64 rupees, now Silver is getting support at 42525 and below same could see a test of 42213 level, And resistance is now likely to be seen at 43039, a move above could see prices testing 43241.