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Silver falls 1%, Gold resilient despite jobless claims falling to a 14-year low

FXStreet (Mumbai) - Silver has declined 1% at the time of writing despite Gold prices holding the ground amid the global stock market sell-off.

Silver is currently trading 0.75% lower at USD 17.333/Oz. The Weakness in Silver may be chart driven, since the metal has repeatedly failed to sustain gains above USD 17.50 levels.

However, Gold prices are still hovering around USD 1240/Oz levels even after the official data in the US revealed that jobless claims fell to a 14-year low last week. Initial claims for state unemployment benefits dropped 23,000 to a seasonally adjusted 264,000, its lowest since 2000.

Moreover, the jobless claims data has failed to prop-up the US ten-year treasury yields which continue to hover around the 2% level. Markets have also ignored the hawkish comments from the Federal Reserve (Fed) official Charles Plosser, who said that interest rates in the US may increase sooner than expected. Thus, we may not see a significant decline in Gold prices.

Silver technical levels

Silver has an immediate support of 17.205 (Oct 10 low), below which prices can fall to 17.00 levels. On the flip side, prices can rise to 17.82 levels, if the metal is able to take out the resistance levels of 17.25.

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