Silver settled down -0.38% at 46068 tracking weakness in gold prices and came off earlier highs and dipped into negative territory on Friday though the commodity remain stable on fears that financial woes at Portugal's largest bank may signify the euro zone periphery may be facing financial troubles anew. Meanwhile, prices remained supported by expectations the Fed will keep rates on hold for an extended period of time after the central bank's bond-buying program ends.

Minutes of the Fed's June policy meeting released showed that officials agreed to end the central bank's asset purchase program in October. However, the minutes revealed little new information on when the bank could start to hike rates. The central bank acknowledged that the economy is continuing to improve but officials remain divided over the outlook for inflation.

The parent company of Portugal's largest bank, Banco Espirito Santo, said it missed payments on commercial paper to a few clients, which spooked markets by fueling concerns surrounding the soundness of the banking sectors in Portugal as well as in Spain and Italy. Meanwhile in the U. S., solid jobless claims numbers supported the greenback, which tends to trade inversely with the precious metal, European concerns offset the data due to Fed expectations.

The U. S. Department of Labor reported earlier that the number of individuals filing for initial jobless benefits in the week ending July 5 declined by 11,000 to 304,000. Bond purchases tend to support gold by weakening the dollar, though gold rose anyway on sentiments that the Fed will likely keep interest rates low for some time after the bond-buying program closes. Technically market getting support at 45860 and below same could see a test of 45651 level, And resistance is now likely to be seen at 46339, a move above could see prices testing 46609.

Trading Ideas:

Silver trading range for the day is 45651-46609.

Silver dropped tracking weakness in prices however downside seen limited as concerns over Portugal's banking sector continued to support.

Fed's policy meeting minutes showed that officials agreed to end the central bank's asset purchase program in October.

However, the minutes revealed little new information on when the bank could start to hike rates.