Lisa Cook and Beth Hammack dissented, preferring a quarter-point increase. The decision did not intensify the market’s already hawkish expectations, but the two votes for a hike left the possibility of further tightening unresolved and limited the scope for a stronger silver rebound.
The dollar’s pressure on dollar-priced precious metals eased after the decision. Silver therefore remained in consolidation, with the macro reaction providing some relief but not a clear catalyst for a sustained advance.
In Shanghai, physical-market activity weakened as October drew to a close. Downstream buyers became more cautious and increasingly adopted a wait-and-see stance while silver prices moved sideways. M., the Ag (T+D) price was 12,980 yuan per kilogram on the Shanghai Gold Exchange.
Pricing against the most-traded SHFE 2612 contract showed the same subdued conditions. The material was quoted at a discount of 20 to 30 yuan per kilogram, while the local basis held near 30 yuan per kilogram. As that basis narrowed, traders raised their offer premiums. Early Shanghai offers for cargoes carrying invoices dated in the current month were concentrated at discounts of 15 to 25 yuan per kilogram against SHFE 2612, and cargoes invoiced for the following month were expected to trade near parity.
The combination of cautious downstream buying, higher offer premiums and limited macro relief pointed to weakness on both sides of the spot market rather than a decisive shift in direction. The near-term assessment was for silver prices and spot premiums to make narrow adjustments. That view remained conditional because long-term Treasury yields stayed elevated and the Fed’s policy direction still allowed for additional rate tightening, even though the latest meeting produced no rate increase.