MUMBAI (Commodity Online): MCX Silver plunged by 5% in the first two hours of trade on Friday as investors fled to the strengthening dollar post the US fed meeting.
MCX Silver December contract is now down by 5.41% at Rs 58533 after opening at Rs 61400. This follows the crash silver suffered on COMEX yesterday when the metal fell by almost 10% yesterday.
The dollar strengthened and commodities saw a united fall aided by prospects of a Chinese slowdown.
The US Federal reserve had earlier decided to buy long term debt by selling an equal amount of short term debt. The fed also voiced concern of a serious downside risk for the US economy which understandably spooked investors.
