Silver is falling as the dollar strengthens
Silver prices have continued to decline throughout June. The move appears to be accelerating to the downside as the dollar continues to strengthen. The dollar's recent surge has been driven by the Federal Reserve's hawkish stance at its June policy meeting, reflected in the dot plots' hawkish tilt and the absence of forward guidance, as well as the hawkish tone at the press conference delivered by new Fed Chair Kevin Warsh.
That currency backdrop matters because a stronger dollar can make precious metals harder to sustain, especially when markets are also reassessing the path of US interest rates. For silver, the immediate result has been a renewed push lower rather than a stabilisation after the first half of the month's decline.
Oversold signals are returning
Silver has continued to weaken through the second half of June and is now trading below $59.50. That puts the market back near oversold conditions, similar to mid-June, when price fell below the lower Bollinger Band and the RSI dropped under 30.
The current setup does not guarantee that selling pressure is exhausted, but it does suggest the decline has become stretched in the near term. Traders will be watching whether sellers can keep control below $59.50 or whether the oversold reading encourages a short pause in the move.
Silver (Jul 2026), January 2026 - present
