Understanding the Market | CHI SILVER GP rises over 10%, spot silver breaks through the $40 mark, reaching a nearly 14-year high
CHI SILVER GP rose over 10%, as of the time of writing, up 10.64%, priced at HKD 0.52, with a trading volume of HKD 52.997 million. On the news front, on September 1st, spot silver broke through and stood above the USD 40/ounce mark, reaching a new high since September 21, 2011. The U.S. core PCE index annual rate released last Friday recorded 2.9%, in line with expectations, but has risen for three consecutive months. After the data was released, traders continued to bet on the Federal Reserve cutting interest rates. Wanguo Futures believes that based on Powell's dovish remarks at the Jackson Hole meeting and the significant changes in the current Federal Reserve personnel, there is a high probability that the Federal Reserve will implement consecutive 25 basis point rate cuts in the next three monetary policy meetings, which will create a significant bullish factor for precious metal prices. Silver is expected to perform better than gold during the rate cut cycle, leading to a noticeable decline in the gold-silver ratio
According to Zhitong Finance APP, CHI SILVER GP (00815) rose over 10%, up 10.64% to HKD 0.52 as of the time of writing, with a trading volume of HKD 52.997 million.
In terms of news, on September 1st, spot silver broke through and stood above the USD 40/ounce threshold, reaching a new high since September 21, 2011. The U.S. core PCE index annual rate released last Friday recorded 2.9%, in line with expectations, but has risen for three consecutive months. After the data was released, traders continued to bet on the Federal Reserve cutting interest rates.
Winko Futures believes that based on Powell's dovish remarks at the Jackson Hole meeting and the significant changes in the current Federal Reserve personnel, there is a high probability that the Federal Reserve will implement consecutive 25 basis point rate cuts in the next three monetary policy meetings. This will create a significant bullish factor for precious metal prices, and silver is expected to perform better than gold during the rate-cutting cycle, leading to a noticeable decline in the gold-silver ratio
