Silver fell nearly 1.5% on Monday, pulling back from a two-week high as a firmer US dollar and profit-taking dragged prices lower. Traders now look to US services data and Wednesday’s Federal Reserve minutes for the next steer on interest rates.
Silver dropped about 1.5% to $61.56 per ounce in European trading on Monday, down from an opening level of $62.38 after touching an intraday high of $63.27, the highest since June 23. The retreat cut short a run higher, driven by profit-taking and corrective selling as a stronger US dollar weighed on the metal.
The move followed a run of gains into the prior week’s close. Silver gained 2.3% at Friday’s settlement, a fourth consecutive daily advance supported by weaker US Treasury yields and a softer dollar. Over the full week the white metal rose 5.5%, its first weekly gain in three weeks and strongest weekly showing since May, as expectations for further US interest rate hikes eased.
Dollar recovery caps the metal
The US Dollar Index rose more than 0.2% on Monday, a second straight session of gains as the greenback recovered from a two-week low against a basket of major and secondary currencies. Several analysts kept a positive view on the currency, suggesting it could appreciate by a modest 2%–3% during the second half of 2026.
Fed minutes and services data in focus
Rate expectations set the near-term backdrop. According to the CME FedWatch Tool, markets price a 76% probability that the Federal Reserve will hold rates at its July meeting, with a 24% chance of a 25-basis-point hike. For December, those odds flip: a 76% probability of a 25-basis-point increase and 24% for no change.
Before then, investors await today’s ISM report on US services sector activity for June, which could shape interest rate expectations. On Wednesday, the Federal Reserve will release the minutes of its first policy meeting under Chairman Kevin Warsh, expected to offer clearer guidance on the path of US rates for the rest of the year.
Source: Economies.com
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