{"id":148881,"date":"2019-06-03T10:45:53","date_gmt":"2019-06-03T14:45:53","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=148881"},"modified":"2019-06-03T06:59:22","modified_gmt":"2019-06-03T10:59:22","slug":"xagusd-silver-analysis-after-china-us-entered-into-trade-conflict-with-mexico","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/06\/xagusd-silver-analysis-after-china-us-entered-into-trade-conflict-with-mexico\/","title":{"rendered":"XAGUSD Silver Analysis: After China, US entered into trade conflict with Mexico"},"content":{"rendered":"
June 3, 2019<\/div>
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By IFCMarkets<\/a><\/strong><\/p>\n

After China, the United States entered into a trade conflict with Mexico<\/strong><\/p>\n

Precious metals are becoming more expensive against the backdrop of expanding the geography of global trade wars. The United States can increase import duties not only for China, but also for Mexico. In addition, precious metals can be supported by a reduction in the Fed rate. Will the silver quotations <\/a> increase?<\/p><\/blockquote>\n

US President Donald Trump announced a possible increase in import duties for Mexico in response to an increase in the number of illegal immigrants from this country. In his opinion, the Mexican authorities should more actively prevent the illegal emigration of their citizens to the United States. The first duty increase by 5% may already take place on June 10, and by October 1 they will gradually increase by 25%. According to rate futures traded on the Chicago CME, the probability of a Fed rate cut by the end of this year is 90%. Most likely this can be done in September. Thus, market participants believe that the Fed will continue monetary incentives for the economy. Reducing the rate can weaken the dollar and increase the attractiveness of precious metals for investment. Silver is far behind the growth of quotations from gold. The gold \/ silver price ratio peaked from the 90s.<\/p>\n

\"XAGUSD\"<\/p>\n

On the daily timeframe XAGUSD: D1<\/b> came out of the downtrend. Various technical analysis indicators have generated an uptrend signal. Further growth of quotations is possible in case of an increase in demand for precious metals.<\/p>\n