Singapore, April 08: Silver hit USD 40 an ounce for the first time since 1980 on Friday after ETF holdings struck another record and rising oil prices boosted the metal’s appeal as a hedge against inflation as well as a cheaper alternative to bullion.
IShares Silver Trust said its holdings hit another record at 11,192.80 metric tons by April 7 from 11,162.45 metric tons on April 4.
The euro showed resilience and touched a 15-month high against the dollar on Friday, bouncing back after dipping the previous day in a sell-the-fact type of reaction to a widely-expected rate rise by the European Central Bank.
The ECB raised interest rates for the first time since the 2008 financial crisis on Thursday and signaled it was ready to tighten policy further if needed to check rising prices.
US and Brent crude futures climbed to their highest in 2- years as supply worries stemming from attacks on Libyan oil fields and unrest in the Middle East offset demand concerns spurred by a major aftershock in Japan.
-Agencies