Decline in Precious Metals Amid Global Markets and Inflationary Pressures
Financial expert Dr. Trader stated that with rising inflation and interest rate expectations, silver could drop to $35 and the decline in gold may continue.
Gold and silver prices in global markets have entered a downward trend alongside mounting inflationary pressures and potential actions by central banks.
Inflation Data and Markets
The Consumer Price Index data for September in the U.S. clearly indicated that inflationary pressures in the country have increased. According to data from the Bureau of Labor Statistics, the CPI rose by 0.6 percent on a monthly basis.
Interest Rate Hike Expectations
The announced inflation data significantly influenced investors' expectations that the U.S. Federal Reserve might raise interest rates at its October meeting. Markets are closely monitoring this possibility.
Energy Supply and Global Impact
Following the war that began between the U.S. and Iran in late February, disruptions in energy supply drove up global inflation and directly affected the monetary policies of central banks.
Forecast for Silver's Ounce Price
Trading at around $56 on October 15, the ounce price of silver declined by about $5 compared to the beginning of the week. Dr. Trader stated that prices could drop as low as $35 with the decrease in buying demand.
Expected Trajectory in Gold Prices
Noting that the ounce price of gold is trading at approximately $4,158, experts predict that falling below $4,000 would not be difficult and that lower levels could be seen.
Statements by Fed Chair Warsh
Investors have turned their attention to remarks by Fed Chair Kevin Warsh. Warsh's speech within the scope of the IMF meetings and the bank's monetary policy signals are being closely followed.