Silver settled down -0.44% at 50662 on profit booking after Silver gained by weak US data and Hedge funds and money managers raised net long positions in gold and silver, a report by the CFTC showed on Friday. Also support seen as Indian rupee dropped to a record low of 62.03 per dollar on Friday, sparking late intervention from the central bank as its measures to tighten capital outflows raised concerns they could spook foreign investors. The Reserve Bank of India late on Wednesday unveiled rules to restrict how much its citizens and companies can invest abroad and announced additional curbs on gold imports. The steps raised concerns of outright capital controls that would further undermine the confidence of foreign investors and also that they did not address the need to attract overseas investments to narrow the record high current account deficit. On the week, silver future prices surged above 11.5%, the biggest weekly advance since September 2008. Friday's data suggested that a recent spike in interest rates, in anticipation of the U. S. Federal Reserve scaling back its massive bond purchases as early as next month, was starting to have an impact on household. Despite the recent gains, the metal is down nearly 20 percent this year on fears the U. S. central bank would begin tapering its $85 billion monthly bond purchases. The Fed's next policy meeting is on Sept. 17-18. The number of Americans filing new claims for jobless benefits fell to a near six-year low last week and consumer prices rose broadly in July, which could draw the Federal Reserve closer to trimming its massive bond-buying program. Technically market is getting support at 50402 and below same could see a test of 50141 level, And resistance is now likely to be seen at 51061, a move above could see prices testing 51459.

Trading Ideas:

Silver trading range for the day is 50141-51459.

Silver dropped on slight profit booking after rose as release of U. S. reports eased expectations for Fed to soon begin tapering its stimulus program.

Bullions appeal as an investment hedge increased after U. S economic reports on Friday showed weaker consumer confidence in August

The Fed's next policy meeting is on Sept. 17-18, while the July FOMC minutes will be released on Wednesday