Silver Drops Over 3% Amid Rate Hike Expectations

2026-07-13 14:30 By Joana Ferreira 1 min. read

Silver declined more than 3% to $58 per ounce on Monday, extending losses for a second straight day, as rising Middle East tensions amplified inflation worries, strengthening the view that US interest rates will stay higher for longer.

US and Iranian forces exchanged heavy missile and drone strikes over the weekend and into Monday.

Tehran reported attacks on US military sites across the Gulf and kept the Strait of Hormuz closed, driving oil prices up over 4%.

Investors responded by increasing bets on a Federal Reserve rate hike, with markets now pricing in a nearly 70% chance of a September increase.

Fed Chair Kevin Warsh is scheduled to testify on monetary policy before Congress on Tuesday, with markets watching closely for further signals.

The US is also set to release key economic data this week, including June’s consumer price index and retail sales.



News Stream
Silver Drops Over 3% Amid Rate Hike Expectations
Silver declined more than 3% to $58 per ounce on Monday, extending losses for a second straight day, as rising Middle East tensions amplified inflation worries, strengthening the view that US interest rates will stay higher for longer. US and Iranian forces exchanged heavy missile and drone strikes over the weekend and into Monday. Tehran reported attacks on US military sites across the Gulf and kept the Strait of Hormuz closed, driving oil prices up over 4%. Investors responded by increasing bets on a Federal Reserve rate hike, with markets now pricing in a nearly 70% chance of a September increase. Fed Chair Kevin Warsh is scheduled to testify on monetary policy before Congress on Tuesday, with markets watching closely for further signals. The US is also set to release key economic data this week, including June’s consumer price index and retail sales.
2026-07-13
Silver Declines on Renewed US-Iran Strikes
Silver dropped below $59 an ounce on Monday, extending losses from last week as renewed missile strikes between the US and Iran drove oil prices higher, fueling expectations of interest-rate hikes to curb inflation. The US carried out its fourth strike in a week against Iran on Sunday in retaliation for an Iranian attack on a Cyprus-flagged container ship. Tehran declared that the Strait of Hormuz would be closed "until further notice," though the claim was dismissed by the US Central Command. Investors are also awaiting key US inflation data due this week for further clues on the Federal Reserve's policy outlook. Markets currently expect the Fed to deliver one more interest-rate hike before the end of the year. Meanwhile, Fed Chair Kevin Warsh is scheduled to make his first appearance before the US Congress on Tuesday.
2026-07-12
Silver Falls Below $60 as Fed Tightening Fears Grow
Silver slipped below $60 an ounce on Friday, ending the week down about 4%, as rising crude oil prices and escalating US-Iran tensions fueled expectations that the Federal Reserve will keep monetary policy tight for longer. Oil jumped 5% this week after renewed strikes between US and Iranian forces, amplifying inflation concerns and leading markets to price in a near 60% chance of a September Fed rate hike. Investors will now focus on US inflation data due next week and Fed Chair Kevin Warsh’s testimony for further policy signals. Minutes from the Fed’s June meeting showed growing unease over inflation, with some policymakers having pushed for a rate hike before rates were left unchanged.
2026-07-10