India silver plunges tracking weak Asian shares

The spot silver has lost the ground yesterday by as much as 8.53% to settle at $43.82. The same has been observed in futures in the COMEX and MCX division  Silver for July delivery lost as much as 5.18% after the CME group increased the initial margin for speculative positions by 13%.
Global equities had a mix performance. The Asian equities were almost down, with DJIA also closed little down while FTSE was closed
The dollar index recovered after a slump put pressure on the metal to slid
The I-share silver holdings has came down a bit to 11021 tons from11053.2 tons as on 29th April
Outlook:
Silver plunged by 2.26% at $45.035 after the dollar index rebounds. At present the dollar index is up by 0.057% at 73.096
As discussed in gold’s outlook, the economic data which are yet to release from the US are mostly favorable to the economy and hence this may put little pressure on the metal. The stronger dollar index is also another factor for the metal to retreat. A likely increase in Indian REPO rate may make the rupee appreciate which will again be a negative catalyst for the metal.
Overall, it is likely for silver to open low and is likely to have a wide range bound movement.
Courtesy: Karvy Commtrade Ltd.

(Source: http://www.commodityonline.com/futures-trading/technical/India-silver-plunges-tracking-weak-Asian-shares-23528.html)