Hot Commodities: Silver retreats 2% on profit-taking ahead of Fed

Silver declined nearly 2% to $42 per ounce on Wednesday, retreating from 14-year highs as investors locked in gains ahead of the Federal Reserve?s pivotal policy decision. The dollar index lingered near 96.43, close to 2?-month lows, reflecting growing market anticipation of a 25 basis points rate cut amid signs of a cooling labor market. Despite the correction, strong industrial demand from sectors like solar energy, electric vehicles, and electronics, coupled with persistent supply constraints, continues to underpin silver?s longer-term strength. On MCX, December silver futures corrected by nearly Rs 2000, settling at Rs 126925 per 10 grams.

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