Silver Drops to Six-Month Low Near $60.74 on Hawkish Fed Bets

Silver (XAG/USD) extended its decline during Asian trading on Wednesday, hitting a fresh six-month low at $60.74. The precious metal has been under sustained selling pressure as market participants grow more confident that the Federal Reserve will implement at least two rate cuts in the coming months.

The hawkish repricing of Fed expectations has strengthened the US dollar and pushed bond yields higher, creating headwinds for non-yielding assets like silver. Traders are now pricing in a higher probability of aggressive monetary tightening, which further dampens the appeal of precious metals.

Technical indicators suggest the downside momentum could persist, with the $60 level now acting as a psychological barrier. A break below this mark may open the door to further losses, while any recovery would need to clear key resistance levels to reverse the bearish outlook.