Silver Prices Plummet Amid Hawkish Fed Shift and Rising Rate Hike Probabilities

Silver prices plummeted to $57.90 per ounce on Friday after a hawkish shift in Federal Reserve monetary policy expectations.

The Fed's decision has led to a sharp increase in the probability of a rate hike in September, now standing at 82.1 percent, according to the CME FedWatch Tool.

This change has drained the appeal of non-yielding assets like silver and pushed its price down 11.32 percent below its 50-day moving average of $65.29.

A global supply deficit of 46.3 million ounces for 2026, confirmed by the Silver Institute, remains a significant fundamental backdrop supporting silver's long-term trajectory.