Silver Prices Tumble Amid Dollar Rebound

Silver prices fell towards $58.50 an ounce on Friday as the US dollar rebounded after two sessions of gains. The modest decline snapped a brief recovery that followed the Federal Reserve's decision to keep interest rates unchanged.

The metal was down about 0.8% at $58.52 in early trade, exposing it to currency markets and industrial demand expectations. Unlike gold, silver trades as both a monetary asset and an industrial input.

Brown Brothers Harriman strategists believe the dollar's earlier decline was due to the removal of July tightening bets and lack of convincing policy guidance. They warn that the currency could remain vulnerable if long-term yields keep rising while the Fed stays on hold.