Silver Prices Plunge to Six-Week Low After Fed Rate Hike

Silver prices hit a six-week low on Wednesday after the Federal Reserve raised interest rates by 25 basis points.

The move was widely expected, following data that showed high consumer and producer prices, along with robust economic growth and low unemployment.

Most FOMC members also projected another rate hike this year, which weighed on bullion prices as markets favor securities that bear yield.

Shorter-maturity yields rose to multi-year highs, putting additional pressure on silver. The Bank of Japan is set to hike its rates this week, further contributing to the decline in precious metals.