Silver Slides More Than 5%, Gold Retreats: Fed Rate Hike Bets and a Surging Dollar Hit Precious Metals
Precious metals posted their steepest single-day loss since June 10 on Wednesday: spot silver fell ~5.4% to ~$61.6/oz and gold dropped ~1.7% to ~$4,040/oz, as markets priced in three Fed rate hikes before year-end and the dollar hit a one-year high.
Precious metals sold off sharply on Wednesday, June 24, with silver losing more than 5% on the day and spot gold retreating. According to USAGOLD and other sources, rising expectations for multiple Fed rate hikes this year drove the dollar to a roughly one-year high — the primary pressure on gold and silver.
- Spot gold ~$4,040/oz, down ~1.7% on the day; intraday low ~$3,975[USAGOLD]
- Spot silver ~$61.6/oz, down ~5.4%[Fortune]
- Markets now pricing in three 25bp Fed rate hikes before year-end
- Dollar index climbs to ~one-year high
- Per USAGOLD, the largest single-day drop for precious metals since the post-FOMC selloff on June 10
Precious metals pulled back sharply on Wednesday, June 24. According to USAGOLD and Fortune, spot gold settled around $4,040/oz, down roughly 1.7% on the day, with an intraday dip to about $3,975; spot silver fell to around $61.6/oz, a decline of roughly 5.4%. Market reports point to rising expectations for continued Fed rate hikes as the primary catalyst — bets that also drove the dollar index to a roughly one-year high, weighing on dollar-denominated metals.[USAGOLD]
Gold and Silver Prices on June 24
Figures varied slightly across sources depending on the time of day captured:
- Gold: spot ~$4,040/oz, down ~1.7% (~$70); intraday prints as low as ~$3,975, versus ~$4,117 the prior session[Fortune]
- Silver: spot ~$61.6/oz, down ~5.4% (~$3.50); intraday prints as low as ~$58.8[Fortune]
Precious metals trade globally around the clock, so figures from different sources reflect different snapshots within the trading day; the ranges above capture that variation.
What Drove the Selloff
Per USAGOLD's daily precious metals market report:
- Markets have fully priced in three 25bp Fed rate hikes before year-end
- Those expectations pushed the dollar index to roughly a one-year high; gold and silver, priced in dollars, typically move inversely to the greenback
- USAGOLD called it the largest single-day drop for precious metals since the post-FOMC selloff on June 10; easing US-Iran tensions also reduced safe-haven demand, removing another pillar of support for the metals[USAGOLD]
What to Watch
After Wednesday's pullback, key items on the radar include the Fed's rate path and dollar trajectory, the May PCE inflation print due June 25, and shifts in safe-haven demand tied to geopolitical developments. All prices and attributions above are drawn from institutional market reports and financial media; actual settlements are determined by spot and futures markets. This article does not contain a directional view on gold or silver.
Sources
This content is for informational purposes only and does not constitute investment advice, trading advice, or any guarantee of returns.
