Silver Slumps Amid Hawkish Fed Outlook and Stronger Greenback

Silver prices continue to decline on Wednesday, trading around $65.20 after dropping 2.80% in value.

The white metal is being pressured by a stronger US Dollar and a hawkish repricing of the US interest rate outlook, with the Federal Reserve remaining a major headwind for Silver.

The Fed raised its benchmark interest rate by 25 basis points at its September meeting, bringing the target range to 3.75%-4%, and signaled that another rate hike could come before the end of the year.

Fed officials have maintained a hawkish tone, with St. Louis Fed President Alberto Musalem and Chicago Fed President Austan Goolsbee supporting further monetary tightening amid persistent inflation risks.