By FXEmpire.com

Analysis and Recommendations:

Silver tumbled today to trade at 29.385 when just the other day silver was holding at the upper 32.00 range surprising investors with unusual strength. Although silver has followed close in golds footsteps, today, it was more the overall metals group that plummeted. The base metal pack erased its earlier gains and traded lower today on the back of rise in risk aversion in the global markets coupled with a stronger dollar index.

Taking cues from fall in gold prices coupled with downside in base metals pack, spot silver prices traded sharply lower by 1.5 percent. Additionally, weak sentiments in the global markets due to rising Euro Zone concerns also acted as a negative factor for prices. The white metal touched an intra-day low of $ 29.52/oz and was hovering around $ 29.58/oz.

Eco Data for May 8, 2012, a very thin day

GBP

RICS House Price Balance

-19%

-10%

-10%

AUD

Trade Balance

-1.59B

-1.40B

-0.75B

CAD

Housing Starts

245K

204K

215K

Upcoming Economic Events that affect the CHF, EUR, GBP and USD

May 10

08:30

EUR

Dutch CPI (YoY)

2.40%

2.50%

09:00

EUR

ECB Monthly Report

09:30

GBP

Industrial Production (MoM)

-0.3%

0.4%

09:30

GBP

Manufacturing Production (MoM)

0.5%

-1.0%

09:30

GBP

Trade Balance

-9.6B

-8.8B

12:00

GBP

Interest Rate Decision

0.50%

0.50%

12:00

GBP

BOE QE Total

325B

325B

13:30

USD

IImport Price Index (MoM)

-0.2%

1.3%

13:30

USD

Trade Balance

-50.0B

-46.0B

13:30

USD

Initial Jobless Claims

369K

365K

13:30

USD

Continuing Jobless Claims

3278K

3276K

14:30

USD

Fed Chairman Bernanke Speaks

15:00

GBP

NIESR GDP Estimate

0.1%

19:00

USD

Federal Budget Balance

30.0B

-198.2B

May 11

00:01

GBP

Nationwide Consumer Confidence

53

07:00

EUR

German CPI (MoM)

0.1%

0.1%

09:30

GBP

PPI Input (MoM)

-1.0%

1.9%

10:00

EUR

Portuguese CPI (MoM)

1.20%

13:30

USD

Core PPI (MoM)

0.3%

13:30

USD

PPI (MoM)

0.0%

14:55

USD

Michigan Consumer Sentiment

76.4

Government Bond Auctions (this week)

Date Time Country

May 09 09:10 Sweden

May 09 09:30 Germany

May 09 09:30 Swiss

May 09 09:30 UK

May 09 14:30 Sweden

May 09 15:30 Italy

May 09 17:00 US

May 10 15:00 US

May 10 17:00 US

May 11 09:10 Italy BOT auction

May 11 10:00 Belgium

Click here to read Silver Technical Analysis.

Originally posted here