Amid the decline in the USD against gold and the Yen last week was caused by uncertainty in the economic and financial situation in the world, the price of silver went up as well. The minutes of the Fed meeting in March released last week, showed that majority of the FOMC representatives were against the rise in the interest rate in April. Although, Fed executives go not have general opinion on this issue.
Most of the market participants do not expect that the US Fed will increase interest rate in April. Next meeting devoted to monetary policy will be held in June.
Earlier in March US Fed left interest rate unchanged at the level of 0.5% and downgraded forecast of the future increase of interest rate. It is planned that in 2016 the rate will be raised twice up to 0.875% instead of previously planned 4 times increase.
Low interest rates in the USA, reserved plans about future increase s trigger the rise in prices of precious metals including silver.
Since the beginning of April prices of silver and gold have grown. Many economists expect that by the end of the year the price of gold will reach the level of 1300 USD per ounce, which is by 4-5% higher than the current level of 1248 USD per ounce.
Based on this forecast we can expect the price of silver will reach the level of 16.30 USD per ounce.
However, monetary policy of the US Fed will depend on the US macro-economic statistics and economic situation in the world and international relationships. Ongoing geopolitical tension in some regions of the world and instability in the global financial markets will cause the rise in demand of precious metals.
Consolidation of the price below the levels of 15.00 and 14.90 USD per ounce, will bring the price back to the downtrend.

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