Domestic silver prices
As of 9:15 am on August 2, the price of 999 silver (1 tael) of DOJI Jewelry Group Joint Stock Company was listed at the threshold of 2,130 - 2,201 million VND/tael (buying - selling); down 33,000 VND/tael on the buying side and down 34,000 VND/tael on the selling side compared to the previous week's trading session.
At the same time, the price of 999 silver bars (1 tael) at Phu Quy Jewelry Group was listed at 2.135 - 2.201 million VND/tael (buying - selling); down 33,000 VND/tael on the buying side and down 34,000 VND/tael on the selling side compared to the previous week's trading session.
The price of 999 silver ingots (1kg) at Phu Quy Jewelry Group is listed at 56.933 - 58.693 million VND/kg (buying - selling); down 880,000 VND/kg on the buying side and down 906,000 VND/kg on the selling side compared to the previous week's trading session.
World silver price
On the world market, as of 9:15 am on August 2 (Vietnam time), the world silver price was listed at 57.41 USD/ounce; down 0.65 USD/ounce compared to the previous week's trading session.
Causes and forecasts
Before turning down, the recovery of silver prices did not come from the US Federal Reserve (Fed) keeping interest rates unchanged, but from a change in market expectations about the September meeting.
After the Fed decided to keep interest rates at 3.5 - 3.75%, investors reduced expectations about the Fed's ability to raise interest rates in September. This weakened the USD, thereby supporting the rise of silver prices. According to precious metals analyst James Hyerczyk, silver usually reacts strongly to the diễn biến of the USD and interest rate expectations rather than to the Fed's own decision.
He believes that if the market continues to lower expectations of the Fed raising interest rates in September, silver prices may maintain an upward trend. Conversely, if new economic data or fuel prices rise again heat up interest rate expectations, the USD may recover and put pressure on silver prices.
Technically, spot silver prices are currently fluctuating around the important support zone of 57.13 - 57.86 USD/ounce. According to experts, if it remains above this zone, silver may head towards the resistance levels of 60.84 USD and 60.94 USD/ounce. When surpassing this price zone, the next target will be 63.28 USD/ounce, further away is the 50-day moving average at 63.66 USD/ounce.
On the contrary, if the price falls below 57.13 USD/ounce, the correcting trend could extend to 56.64 USD and then to 54.78 USD/ounce.
According to Mr. Hyerczyk, the current volatility zone shows that long-term investors are still accumulating. However, to form a new rally, the market needs more buying power from short-term speculators. This will be unlikely if US bond yields remain high and fuel prices continue to put pressure on inflation expectations.
The information in the article only reflects market developments, not investment recommendations. Investors need to carefully consider risk factors before making a decision.
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