Silver Drops to Two-Month Low Ahead of Fed Minutes
Silver prices fell more than 3% to around $59 an ounce on Wednesday, touching their lowest level since early August, pressured by a stronger US dollar as investors awaited the minutes of the Federal Reserve’s September meeting for clues on policymakers’ appetite for further rate hikes. Following softer US jobs data, markets now largely expect the Fed to leave rates unchanged in October, while still pricing in an over 80% probability of a hike in December, according to the CME FedWatch Tool. Kansas City Fed President Jeff Schmid said interest rates may still need to rise to bring inflation under control, while San Francisco Fed President Mary Daly said the policy decision would depend on whether inflationary pressures prove temporary or persistent.
Silver prices fell more than 3% to around $59 an ounce on Wednesday, touching their lowest level since early August, pressured by a stronger US dollar as investors awaited the minutes of the Federal Reserve’s September meeting for clues on policymakers’ appetite for further rate hikes. Following softer US jobs data, markets now largely expect the Fed to leave rates unchanged in October, while still pricing in an over 80% probability of a hike in December, according to the CME FedWatch Tool.
Kansas City Fed President Jeff Schmid said interest rates may still need to rise to bring inflation under control, while San Francisco Fed President Mary Daly said the policy decision would depend on whether inflationary pressures prove temporary or persistent.