Silver prices fell further on Wednesday, trading at $64.24 an ounce at 6:48 a.m. ET, after the U.S. launched a second wave of attacks on Iran.
Silver December futures opened at $64.69 per ounce on Wednesday, down 1.0% from Tuesday's closing price and hitting a two-week low. This decline occurred after the U.S. military launched its second wave of attacks on Iran in three days, prompting retaliation from the Iranian military against U.S. bases in the Middle East. Market analysis suggests that if the conflict continues and energy prices rise (Brent crude is already near $95/barrel), the Federal Reserve might be forced to raise interest rates later this month, which would exert further downward pressure on silver prices. This move by the U.S. signals a shift in its policy towards Iran from economic pressure to military action, aiming to compel a peace agreement and reopen the Strait of Hormuz.
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