Silver (XAG/USD) extended its losing streak into a third consecutive session on Tuesday, falling to around $28.20 as the US Dollar (USD) gained strength amid uncertainty ahead of key economic data releases in the United States this week.
The US Dollar Index (DXY), which measures the Greenback’s value against a basket of six major currencies, climbed towards a fresh two-week high of 102.00.
Investors are anxiously awaiting the release of the US Nonfarm Payrolls (NFP) data for August on Friday, a key report that could significantly impact expectations for the Federal Reserve’s (Fed) interest rate decision at the upcoming September meeting. While the Fed is broadly expected to begin cutting interest rates this month, there is ongoing debate among traders about whether the central bank will opt for a cautious or more aggressive approach to easing monetary policy.
In addition to the NFP report, market participants will closely monitor the JOLTS Job Openings data for July and the ADP Employment Change report for August, which are scheduled for release on Wednesday and Thursday, respectively. These reports are expected to offer further insights into the current state of the US labor market.
Later in today’s North American session, attention will turn to the US ISM Manufacturing PMI for August, set to be released at 14:00 GMT. The PMI is projected to have improved slightly to 47.5 from July’s reading of 46.8, though a figure below 50.0 still indicates contraction in the manufacturing sector.
