Silver Pares Gains on Strong Dollar

2026-11-11 14:46 By Joana Ferreira 1 min. read

Silver pared its early gains to trade just above $52 an ounce on Wednesday, as the USD climbed to its highest level since April 2025, supported by stronger-than-expected inflation data and hawkish Federal Reserve commentary.

A modest recovery in oil prices following their recent decline to 10-week lows also added to inflationary pressures.

US consumer prices rose 0.4% in October, exceeding expectations of 0.3%, prompting markets to fully price in a December Fed rate hike, with the probability rising to 100% from 84% before the release, according to the CME FedWatch Tool.

Expectations of a larger, 50-basis-point increase also gained momentum.

Meanwhile, Fed Governor Christopher Waller suggested that persistent core inflation could justify a half-point hike as early as December, while other policymakers, including Anna Paulson and Michelle Bowman, maintained a hawkish stance, reinforcing expectations of tighter monetary policy and strengthening the US dollar, weighing on precious metals.



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Silver Pares Gains on Strong Dollar
Silver pared its early gains to trade just above $52 an ounce on Wednesday, as the USD climbed to its highest level since April 2025, supported by stronger-than-expected inflation data and hawkish Federal Reserve commentary. A modest recovery in oil prices following their recent decline to 10-week lows also added to inflationary pressures. US consumer prices rose 0.4% in October, exceeding expectations of 0.3%, prompting markets to fully price in a December Fed rate hike, with the probability rising to 100% from 84% before the release, according to the CME FedWatch Tool. Expectations of a larger, 50-basis-point increase also gained momentum. Meanwhile, Fed Governor Christopher Waller suggested that persistent core inflation could justify a half-point hike as early as December, while other policymakers, including Anna Paulson and Michelle Bowman, maintained a hawkish stance, reinforcing expectations of tighter monetary policy and strengthening the US dollar, weighing on precious metals.
2026-11-11
Silver Rebounds from Sharp Decline
Silver climbed above $53 an ounce on Wednesday, reversing losses from the previous session when hawkish comments from Federal Reserve officials and stronger-than-expected US inflation data strengthened expectations of a rate hike in December. US headline inflation slowed to 0.4% MoM in October from 0.6% in September, but came in above market forecasts of 0.3%. Meanwhile, core inflation remained unchanged at 0.3% for the third consecutive month, exceeding expectations of 0.2% and signaling persistent underlying price pressures. Fed Governor Christopher Waller expressed support for further monetary tightening in December, adding that he would favor a half-percentage-point increase if inflation continues to accelerate. Dallas Fed President Lorie Logan also indicated that more aggressive rate hikes may be necessary to bring inflation under control. Consequently, markets are now pricing in approximately a 91% probability of a rate increase next month, up from 84% in the previous session.
2026-11-11
Silver Prices Fall More Than 2%
Silver prices tumbled below $52 an ounce on Tuesday as hotter-than-expected US inflation figures and hawkish comments from Federal Reserve Governor Christopher Waller strengthened expectations of further monetary tightening in December, including the possibility of a 50-basis-point hike. US headline inflation slowed to 0.4% month-on-month in October 2026, from 0.6% in September, but came in above forecasts of 0.3%. Core inflation also remained elevated at 0.3% for a third consecutive month, exceeding expectations of 0.2% and highlighting persistent underlying price pressures. Waller signaled support for a December rate increase, adding that he would back a 50-basis-point hike if inflation continued to accelerate. Markets are now pricing in approximately 28 basis points of tightening, fully reflecting a quarter-point increase while leaving room for a larger move.
2026-11-10