FX.co ★ Silver Slides Over 20%

Silver experienced a significant drop of approximately 21%, falling to around $91 per ounce on Friday. This decline was a result of robust profit-taking that prompted a widespread downturn across the precious metals sector. Previously, the price of silver had soared to a record high of $122 on Thursday. Despite the sharp drop, silver remained on course for a monthly increase of over 30%. This gain was supported by increasing economic and geopolitical uncertainty, a weakening US dollar, and tight conditions in the physical market, driven by unprecedented investment inflows and strong industrial demand. Geopolitical tensions persisted, following President Trump's executive order imposing tariffs on goods from countries supplying oil to Cuba, which added additional pressure on Mexico. Furthermore, Trump called on Iran to engage in nuclear negotiations, while Tehran warned of retaliation and promised a swift response. In terms of monetary policy, Trump announced the nomination of former Federal Reserve governor Kevin Warsh as the next Fed chair, putting an end to months of speculation regarding the future of US monetary policy leadership.