Silver (XAG/USD) reverses sharply lower on Thursday after briefly testing $33.70, its highest level in seven weeks, showing signs of near-term fatigue after a strong upside breakout on Wednesday to trade around $32.95 during the American session.
Improving upward momentum indicates EUR/USD could maintain its upward bias; it is premature to expect a retest of the 1.1573 high, UOB Group's FX analyst Quek Ser Leang reports.
The Eurozone manufacturing sector remained in contraction, while services sector also followed suit in May, according to data from the HCOB's latest Purchasing Managers' Index (PMI) Survey, published on Thursday.