Silver Prices Slide as Investors Await US Inflation and Federal Reserve Signals

Silver prices have retreated from their two-month high after investors grew cautious ahead of key US economic data and Federal Reserve signals. The precious metal dropped below $68.0 an ounce on Tuesday, down from last week's peak of $70.0.

The recent rally in silver lost momentum as markets awaited the release of US inflation data, which is expected to provide insight into the country's economic health. Additionally, Federal Reserve Chair Kevin Warsh is set to speak at the Jackson Hole Symposium later this week, and investors are closely watching for any hints on monetary policy.

The US Treasury's decision to double liquidity-support buyback operations for longer-dated notes and bonds has also contributed to silver's decline. This move helped push the dollar to a more than three-month low last week, making other assets less attractive by comparison.