Silver Fundamental Analysis May 23, 2012, Forecast

By FXEmpire.com

Analysis and Recommendations:

Silver was trading for 28.553. Taking cues from fall in gold prices and downside in base metals, Spot silver prices declined more than 1 percent. Additionally, strength in the DX also exerted downside pressure on prices. The white metal touched an intra-day low of $27.97/oz and was trading around $28/oz. The base metals pack traded lower today on account of dollar strength and statement by the OECD highlighting global economic concerns.

A stronger dollar pressures demand for dollar-denominated commodities, such as gold and silver, which become more expensive for holders of other currencies and also vice versa. With high inventories and still higher production and a continued drop in demand, oil will continue to drift downward.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Economic Data May 22, 2012 actual v. forecast

Date	Time	Currency	Event	Actual	Forecast	Previous
May 22	04:00	NZD	Inflation Expectations (QoQ)	2.4%	2.5%
09:00	NOK	Norwegian GDP (QoQ)	1.4%	0.8%	0.6%
09:30	GBP	Core CPI (YoY)	2.1%	2.2%	2.5%
09:30	GBP	CPI (YoY)	3.0%	3.1%	3.5%
09:30	GBP	CPI (MoM)	0.6%	0.6%	0.3%

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

May 23	8:00	EUR	Current Account	-1.3B
	8:30	GBP	MPC Meeting Minutes	0-0-9
	TBD	EUR	Industrial New Orders m/m	-1.2%
	10:00	GBP	CBI Industrial Order Expectations	-8
	TBD	GBP	Inflation Report Hearings
	14:00	USD	New Home Sales	328K
	14:30	USD	Crude Oil Inventories
May 24	6:00	CHF	Trade Balance	1.69B
	7:00	EUR	French Flash Manufacturing PMI	46.9
	7:00	EUR	French Flash Services PMI	45.2
	7:30	EUR	German Flash Manufacturing PMI	46.2
	7:30	EUR	German Flash Services PMI	52.2
	8:00	EUR	German Ifo Business Climate	109.9
	8:00	EUR	Flash Manufacturing PMI	45.9
	8:00	EUR	Flash Services PMI	46.9
	8:30	GBP	Retail Sales m/m	1.8%
	8:30	GBP	Revised GDP q/q	-0.2%
	8:30	GBP	BBA Mortgage Approvals	31.9K
	8:30	GBP	Prelim Business Investment q/q	-3.3%
	12:30	USD	Unemployment Claims
	12:30	USD	Durable Goods Orders m/m	-4.0%
	13:00	EUR	Belgium NBB Business Climate	-10.7
May 25	6:00	EUR	GfK German Consumer Climate	5.6
	7:15	CHF	Employment Level	4.04M
	TBD	ALL	G8 Meetings
	13:55	USD	Revised UoM Consumer Sentiment

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Originally posted here