Silver Price Sinks to $16.21 an Ounce

On Tuesday, the price of silver dropped 0.5 percent, to $16.21 an ounce, as investors waited for news regarding an anticipated interest rate hike from the US Federal Reserve, according to Reuters. Federal Reserve Chair Janet Yellen will testify before the US Senate Tuesday, and investors expect to gain insight about the Fed’s plans.

The potential rate increase has stifled commodities growth through the beginning of the year, and has boosted the dollar against foreign currencies. If Yellen’s remarks signal an imminent rate hike, investors will shift out of safe havens like silver in favor of higher-risk options in the stock market.