Silver prices are attempting to break out of the $22.30-23.22 sideways trend and rally on Wednesday. In case of consolidation above the $22.8 interim resistance level, the market will be able to push for $23.
Today’s industrial production data looks mixed. On the one hand, the UK in August boosted industrial production by 0.8% MoM compared to the consensus forecast that called for +0.2% MoM. At the same time, output in the manufacturing industry, where silver is also used, increased. On the other hand, industrial production in the Eurozone fell 1.6% MoM in August after expanding 1.4% in the previous month. Notably, the final data turned out a little better than expected, but it still looks quite sluggish.
The long-term fundamental factor underpinning silver prices will be a gradual industrial recovery in key global economies.