Silver slumps below $15 to 28-month nadir, dollar hits year highs

Silver futures fell nearly two percent in American trade to April 5, 2016 lows, as the dollar index scaled June 28, 2017 highs, as the contracts of the white metal become costlier to holders of other currencies with dollar's recent surge. 

As of 05:40 GMT, silver futures due in September slumped 2.13% to $14.99 an ounce, marking 2-1/5 year lows, while the dollar index inched up 0.07% to 96.43, marking year highs. 

US President Donald Trump warned Canada in another tweet while lauding Mexico by saying: "Deal with Mexico is coming along nicely. Autoworkers and farmers must be taken care of or there will be no deal. New President of Mexico has been an absolute gentleman. Canada must wait. Their Tariffs and Trade Barriers are far too high. Will tax cars if we can’t make a deal!".

Trump has repeatedly blasted the NAFTA trade deal with Mexico and Canada, describing it as the worst in US history and blaming it for harming US farmers and workers. 

US data released last week showed consumer prices rose 0.2% m/m in July as expected, accelerating from 0.1% in June, while core prices, excluding food and energy, rose 0.2% as expected with no change from June. 

On a yearly basis, consumer prices rose 2.9% as expected with no change as well, while core prices accelerated to 2.4% from 2.3%. 

The dollar index has strengthened recently against major currencies, marking the third weekly profit in a row and weighing on dollar-denominated commodity futures, on prospects of two more Federal Reserve rate hikes this year.