- Silver price depreciates as comments from Fed officials suggest higher rates for longer.
- The rise of the US dollar slows the demand for Silver.
- Traders await the FOMC minutes for more clues on the Fed's policy stance.
The price of Silver continues to lose ground after falling from $32.51, a level not seen since December 2012. The price of Silver is trading around $31.80 per troy ounce during European trading on Wednesday. Investors are weighing recent comments from Federal Reserve officials, with several policymakers advocating continued policy caution.
Boston Federal Reserve Bank President Susan Collins stressed Tuesday that progress toward adjusting interest rates will take more time, emphasizing patience as the appropriate policy for the Fed. Additionally, the Governor of The Federal Reserve, Christopher Waller, mentioned that he would need to see several more months of positive inflation data before he would feel comfortable supporting an easing policy, according to Reuters.
The US dollar (USD) appreciated ahead of the publication of the minutes of the Federal Open Market Committee (FOMC) meeting held on May 1, which are expected to be published on Wednesday. The rise of the Dollar slows down the demand for Silver.
The fall of the gray metal is limited by renewed trade tensions between the United States and China. On Monday, the Chinese Ministry of Commerce announced a ban on the American company General Atomics Aeronautical Systems from carrying out import and export activities related to China. This decision comes amid continuing trade tensions between the United States and China.
Furthermore, China's measures to stabilize its real estate sector are giving some boost to safe haven assets such as Silver. The Chinese Ministry of Commerce announced the ban on the American company General Atomics Aeronautical Systems from carrying out import and export activities related to China. This decision comes amid continuing trade tensions between the United States and China.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
