Silver Falls Sharply After Record Highs
The metal had been setting successive records the previous week, but easing geopolitical tensions and the London Metal Exchange’s decision to adjust margin rules triggered a sharp downturn.
Silver began the year at $28.9 per ounce and trended upward, largely influenced by US President Donald Trump’s tariff measures, uncertainty surrounding central bank easing cycles, and global political developments.
In the first half of the year, silver advanced roughly 25%, surpassing $50 per ounce for the first time on October 9. Strong demand from central banks, inflows into exchange-traded funds (ETFs), and expectations of monetary easing by the Federal Reserve further fueled the rally.
By December 26, silver had climbed to $79.3 per ounce, and then to $84 on Monday — a surge of more than 150% since the start of the year. Reports indicated that physical silver prices in China reached as high as $90 per ounce.
Following the 7.18% decline, silver closed Monday at $72.8 per ounce. The sharpest single-day drop in recent history was 8.21% on February 2, 2021.
Additional pressure came from reports that the Chicago Mercantile Exchange raised margin rates for silver futures.
After Monday’s steep fall, silver regained some ground on Tuesday, rising 2.4% to trade at $74.6 per ounce.
Legal Disclaimer:
MENAFN provides the
information “as is” without warranty of any kind. We do not accept
any responsibility or liability for the accuracy, content, images,
videos, licenses, completeness, legality, or reliability of the information
contained in this article. If you have any complaints or copyright
issues related to this article, kindly contact the provider above.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
