Silver Hits 11-Month Low as Fed Rate Hike Expectations and Industrial Demand Pressure Weigh on Prices

English summary

Spot silver fell for a third consecutive day to around $50.65 per ounce, hitting an 11-month low. US inflation data (PCE up 0.5% MoM) and robust GDP growth (3.4%) strengthened expectations of Federal Reserve rate hikes, weighing on non-yielding assets. Additionally, silver's stronger industrial attributes compared to gold made it more sensitive to demand outlooks in a tightening environment, causing it to significantly underperform the precious metals sector.