Silver Slides 7.28% as Dollar Hits 13-Month High on June 25, Gold Breaks Below $4,000

According to Huawen Futures research released on June 25, precious metals declined sharply as the U.S. dollar rebounded above 100 for the first time in 13 months. Silver fell 7.28%, gold dropped over 2%, and international gold prices broke below the key $4,000 level while silver fell below $60, representing losses exceeding 50% from recent highs.

The selloff was driven by growing expectations of higher interest rates. The Federal Reserve's latest policy meeting signaled a hawkish stance, with nine of 18 officials forecasting interest rate increases in 2026 and six predicting two hikes. Markets have fully priced in a 25 basis point increase in October, with some institutions expecting three increases throughout the year, pushing real yields higher and weighing on non-yielding assets like precious metals.