Silver slipped below $67 per ounce on Tuesday, remaining under pressure amid escalating tensions in the Middle East after Iran denied engaging in talks with the United States to resolve the conflict. Tehran rejected President Donald Trump’s claims as an effort to sway financial markets and instead launched new attacks on US targets, while Israel continued its strikes against Iran.
On Monday, silver had seen a sharp intraday rebound after Trump delayed planned US strikes on Iran’s energy infrastructure and asserted that negotiations were in progress. However, the outcome of any potential talks, as well as the prospects for reopening the Strait of Hormuz, remain highly uncertain, sustaining elevated inflation risks.
Silver has declined as much as 37% from its March peak, as rising energy prices have intensified inflation concerns and bolstered expectations for further interest rate hikes.