Silver Soars as Dollar Weakens and Rate Hike Expectations Fizzle

Silver prices surged over 2% on Monday, trading at around $66.30 as the US Dollar weakened and expectations of another interest rate hike by the Federal Reserve faded.

The rebound comes after a series of disappointing US economic releases, including a 0.6% decline in July retail sales, which was lower than expected.

Markets now see around a 70% chance that the Fed will leave interest rates unchanged at its September meeting, up from 48% just last week.

The weakening Dollar has made precious metals denominated in US currency more attractive to investors using other currencies.