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Silver futures lower ahead of U.S. nonfarm payrolls report

Published 10/22/2013, 04:30 AM
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Investing.com - Silver prices declined on Tuesday, as investors awaited the release of delayed U.S. nonfarm payrolls data to gauge when the Federal Reserve will starting trimming its asset purchase program.

On the Comex division of the New York Mercantile Exchange, silver futures for December delivery traded at USD22.12 a troy ounce during European morning trade, down 0.7%.

Silver prices traded in a range between USD22.06 a troy ounce, the daily low and a session high of USD22.26 a troy ounce.

The December contract ended 1.67% lower on Monday to settle at USD22.27 a troy ounce, the highest close since October 9.

Silver prices were likely to find support at USD21.10 a troy ounce, the low from October 17 and resistance at USD22.40, the high from October 9.

The delayed September nonfarm payrolls report, which had been originally scheduled for release on October 4, will be published later Tuesday.

The data was expected to show the U.S. economy added 180,000 jobs in September ahead of the U.S. government shutdown.

There are growing expectations in the market that the Fed will delay tapering its stimulus program until next year amid concerns over the impact of the 16-day U.S. government shutdown on the economic recovery.

Silver prices have largely tracked shifting expectations as to whether the Fed would start tapering its USD85-billion-a-month asset-purchase program by the end of the year.

The central bank is scheduled to meet October 29-30 to review the economy and assess policy.

Elsewhere on the Comex, gold for December delivery inched down 0.1% to trade at USD1,314.70 a troy ounce, while copper for December added 0.15% to trade at USD3.309 a pound.

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