Silver ($XAG) Commodity Forecast: Down 7.2% Today

What is Silver?

Silver, a precious metal known for its industrial and investment uses, experienced a strong bearish movement in the market today.

Why is Silver going down?

XAG commodity is down 7.2% on Feb 6, 2026 6:43

• Silver surged above $73 per ounce before dropping over 8%, hitting a seven-week low amidst widespread deleveraging and a significant selloff in financial markets.
• Heavy speculative positioning, mainly from Chinese traders, increased silver's price volatility, leaving it susceptible to sudden reversals with changing sentiment.
• The potential nomination of a more hawkish candidate for the next Fed chair caused the dollar to strengthen, adding pressure on precious metals like silver.
• Geopolitical tensions, economic uncertainties, and expectations of Federal Reserve actions were key factors influencing market sentiment, contributing to the increased volatility and bearish trend seen in silver prices.

XAG Price Chart

XAG Technical Analysis

XAG News

Silver Whipsaws in Volatile Trade

Silver rose more than 3% to above $73 per ounce on Friday after plunging nearly 10% earlier in the session, with volatility surging to levels last seen in 1980. Price swings in the metal have been far more extreme than in gold, reflecting silver’s smaller market size, thinner liquidity, and heavy speculative positioning. Still, silver is on track for a second consecutive weekly decline and remains about 40% below its Jan. 29 peak. Silver and other precious metals had rallied to record highs in January on heightened geopolitical risks, economic uncertainty, and concerns over the US Federal Reserve’s independence that boosted safe-haven demand. Speculative buying, particularly from Chinese traders, added froth to the rally, leaving prices vulnerable to a sharp reversal as sentiment turned. Pressure on precious metals intensified further after a sharp rebound in the dollar following the nomination of Kevin Warsh as the next Fed chair, widely seen as the more hawkish choice.

Silver traded above 70 USD/t.oz

Silver rose above 70, according to trading on a contract for difference (CFD).

Silver Extends Historic Drop

Silver slid more than 8% to below $65 per ounce on Friday, sinking to its lowest level in seven weeks amid widespread deleveraging and a deepening selloff across financial markets. The white metal is now down roughly 45% from its Jan. 29 peak, wiping out all gains for the year and marking its steepest collapse since 1980. Silver and other precious metals had surged to record highs in January, driven by heightened geopolitical risks, economic uncertainty, and concerns over the US Federal Reserve’s independence that fueled safe-haven demand. Speculative buying, particularly from Chinese traders, added froth to the rally, leaving prices vulnerable to a sharp reversal as sentiment turned. Pressure on precious metals increased further after a sharp rebound in the dollar following the nomination of Kevin Warsh as the next Fed chair, widely seen as the more hawkish choice. Silver’s volatility outpaced other metals as heavy speculative flows overshadowed its supply-demand fundamentals.

Silver Extends Plunge

Silver slumped as much as 16.5% to around $73.5 per ounce, snapping a brief two day rebound as the latest recovery attempt failed to hold and volatility surged across precious metals. Hopes for dip buying faded quickly as volatility intensified across precious metals, with silver underperforming amid broad deleveraging. The move unfolded alongside deteriorating US labour signals, including 108.4K job cuts in January and a jump in initial claims to 231K, which reinforced expectations for Federal Reserve rate cuts later this year. Even so, the immediate response favoured risk reduction rather than defensive inflows, pressuring silver through margin driven selling after last week’s sharp rally. Policy uncertainty also lingered as markets weighed Kevin Warsh’s nomination as Fed chair, given his preference for a smaller balance sheet and a more cautious approach to easing. Meanwhile, easing geopolitical risk after confirmation of upcoming US Iran talks reduced near term safe haven demand.

Silver Plunges Amid Renewed Selling Pressure

Silver fell as much as 8.5% toward $80 an ounce on Thursday, snapping a two-day rebound as precious metals faced renewed selling pressure and heightened volatility. Despite hopes that dip buyers might step in at lower levels, the decline in silver and other metals appears set to continue after the recent rebound failed to hold. The selloff coincided with a stronger dollar, fueled by hawkish signals from the Federal Reserve and expectations of a slower pace of US rate cuts. Investors considered the implications of Kevin Warsh’s nomination as Fed chair, noting his preference for a smaller Fed balance sheet and expectations that he would be less aggressive on rate reductions. Additionally, geopolitical tensions eased after the US and Iran scheduled a fresh round of talks for Friday, though the scope remains uncertain. Tehran seeks to confine discussions to its nuclear program, while Washington wants to address ballistic missiles, regional militant support, and human rights issues.

Trending Today

MKS Instruments Inc. ($MKSI) Stock Forecast: Up 5.4% Today

West Pharmaceutical Services Inc. ($WST) Stock Forecast: Up 5.2% Today

Halliburton Company ($HAL) Stock Forecast: Up 5.4% Today

Valero Energy Corporation ($VLO) Stock Forecast: Up 5.4% Today

Tesla Inc. ($TSLA) Stock Forecast: Up 5.2% Today

TechnipFMC plc ($FTI) Stock Forecast: Up 5.3% Today

United Continental Holdings Inc. ($UAL) Stock Forecast: Up 5.3% Today

United Rentals Inc. ($URI) Stock Forecast: Up 5.1% Today

Caterpillar Inc. ($CAT) Stock Forecast: Up 5.6% Today

NVIDIA Corporation ($NVDA) Stock Forecast: Up 5.5% Today

Silver Price History

03.01.2026 - XAG Commodity was up 5.4%

• Silver experienced a significant bullish movement today, rebounding from recent steep selloffs.
• The market movement can be attributed to a combination of factors:
• The rebound came after a historic selloff that saw prices plunge, driven by profit-taking following a strong rally and concerns over the nomination of a more hawkish Federal Reserve chair.
• Geopolitical and economic uncertainty, currency debasement fears, and a structural supply deficit also played a role in the earlier surge and subsequent rebound.
• The sharp swings in silver prices highlight the volatility and sensitivity of the metal to geopolitical events, economic indicators, and central bank policies.
• Moving forward, investors will likely continue to monitor geopolitical developments and Federal Reserve actions for further insights into silver's price movements.

03.01.2026 - XAG Commodity was up 5.9%

• Silver rebounded today after a dramatic two-day selloff, recovering above $83 per ounce. The initial plunge was triggered by news of US President Donald Trump's nomination of Kevin Warsh as the next Federal Reserve chair, signaling a more hawkish policy stance, which led to profit-taking and a rapid unwind of speculative positions.
• The market movement was also influenced by factors such as heightened geopolitical and economic uncertainty, concerns over currency debasement, and a structural supply deficit in the silver market. These elements, along with rising investment inflows, particularly from Chinese speculators, contributed to the rally.
• Despite the recent volatility, silver's safe-haven appeal remained intact, supported by ongoing worries about the Fed's independence, rising government debt, and geopolitical tensions. The market's reaction to these factors, coupled with momentum buying and profit-taking, led to the sharp fluctuations in silver prices.
• Looking ahead, investors will likely continue to monitor developments related to the Federal Reserve's policy direction, global economic conditions, and geopolitical events to gauge the future trajectory of silver prices.

04.01.2026 - XAG Commodity was up 5.1%

• Silver rebounded by over 5% today, reaching $89.377 per ounce, following a recent period of extreme volatility in the metals market.
• The bullish movement can be attributed to easing volatility, as forced liquidations subsided and dip buyers took advantage of lower prices.
• Geopolitical tensions, such as recent developments involving the US Navy and Iran, supported demand for safe-haven assets like silver.
• The structural supply deficit in the silver market, along with steady industrial demand and speculative buying, also contributed to the price surge.

04.01.2026 - XAG Commodity was up 5.8%

• Silver prices surged by over 5% as the market reacted to US economic data and speculation surrounding the Federal Reserve's policy under the potential new chair, Kevin Warsh.
• The metal rebounded after a historic selloff, with forced liquidations easing and dip buyers capitalizing on lower prices, supported by a persistent structural supply deficit and steady industrial demand.
• Geopolitical tensions, including the US Navy's actions in the Arabian Sea, added safe-haven appeal to silver, further contributing to the price increase.
• The rally in silver, driven by geopolitical uncertainty, currency concerns, and Fed-related fears, saw a dramatic reversal following Trump's nomination of Warsh, leading to a rapid unwind of speculative positions among Chinese investors.

04.01.2026 - XAG Commodity was up 5.9%

• Silver rebounded significantly today, surpassing $86 per ounce, following a historic selloff that wiped out a substantial portion of its value in just two days.
• The bullish movement can be attributed to easing volatility in the metals market, as forced liquidations subsided and dip buyers took advantage of lower prices.
• Geopolitical tensions, such as the US Navy shooting down an Iranian drone and upcoming nuclear talks, supported demand for safe-haven assets like silver.
• The persistent structural supply deficit, steady industrial demand, and speculative buying, particularly from Chinese traders, also contributed to the rally, highlighting the multifaceted factors influencing silver prices.

05.01.2026 - XAG Commodity was down 6.2%

• Silver prices declined today, diverging from their recent upward trend.
• This shift is believed to stem from reduced volatility in the metal market following a significant sell-off, prompting profit-taking and a price adjustment.
• Market sentiment may have been influenced by the prospect of Kevin Warsh becoming the next Fed chair, a choice perceived as more inclined towards tight monetary policy.
• Ongoing geopolitical tensions, including discussions between the US and Iran and conflicts in areas like Ukraine, are contributing to market uncertainty and impacting silver prices.

05.01.2026 - XAG Commodity was down 13.5%

• Silver faced a significant downturn today, dropping around 8.5% to approximately $80 per ounce.
• The decline in silver prices is linked to increased selling pressure and heightened volatility in the precious metals market.
• The fall can be tied to a stronger dollar, more hawkish signals from the Federal Reserve, and the expectation of slower US rate cuts.
• The possibility of Kevin Warsh becoming the next Fed chair, which could bring about a smaller Fed balance sheet and less aggressive rate reductions, likely influenced investor sentiment.

05.01.2026 - XAG Commodity was down 15.6%

• Silver saw a significant drop today, falling by 16.5% to approximately $73.5 per ounce due to increased volatility and selling pressure.
• Factors such as a stronger dollar, hawkish signals from the Federal Reserve, and expectations of slower US rate cuts contributed to the decline in silver prices.
• The nomination of Kevin Warsh as the next Fed chair, known for favoring a smaller balance sheet and less aggressive rate reductions, had a negative impact on silver.
• With the US and Iran agreeing to talks, geopolitical tensions easing led to reduced safe-haven demand for silver, further adding to the downward pressure on prices.

06.01.2026 - XAG Commodity was down 23.0%

• Silver prices plummeted by over 8%, slipping below $65 per ounce, hitting a seven-week low and wiping out all gains for the year.
• The price decline was influenced by broad deleveraging and extensive market sell-offs, as well as a strengthening US dollar linked to the nomination of Kevin Warsh for the next Fed chair, hinting at a more stringent monetary policy approach.
• Increased speculative buying, primarily from Chinese traders, exaggerated the market rally, making silver susceptible to a sharp turnaround as market sentiment changed. Moreover, easing tensions between the US and Iran, with scheduled talks, lessened the demand for precious metals as safe-havens.
• Despite expectations of purchasing on the dip and anticipated supply shortages benefiting silver, market focus centered on diminishing risks rather than defensive investments. This shift led to selling driven by margins and raised volatility levels in the precious metals market.

06.01.2026 - XAG Commodity was down 6.2%

• Silver plummeted by over 8% to dip below $65 per ounce due to widespread deleveraging and a sharp selloff in financial markets.
• Speculative purchases, notably from Chinese traders, inflated the market, leaving it exposed to a sudden reversal with shifting sentiments.
• The selection of Kevin Warsh as the potential new Fed chair, known for a more conservative stance, triggered a dollar rally, intensifying pressure on precious metals like silver.
• Despite expectations of bargain hunting, the silver decline persisted as global tensions eased, prompting a shift towards risk aversion over defensive asset inflows, contributing to the bearish sentiment in the market.

06.01.2026 - XAG Commodity was down 7.2%

• Silver surged above $73 per ounce before dropping over 8%, hitting a seven-week low amidst widespread deleveraging and a significant selloff in financial markets.
• Heavy speculative positioning, mainly from Chinese traders, increased silver's price volatility, leaving it susceptible to sudden reversals with changing sentiment.
• The potential nomination of a more hawkish candidate for the next Fed chair caused the dollar to strengthen, adding pressure on precious metals like silver.
• Geopolitical tensions, economic uncertainties, and expectations of Federal Reserve actions were key factors influencing market sentiment, contributing to the increased volatility and bearish trend seen in silver prices.

02.01.2026 - XAG Commodity was down 5.4%

• Silver prices took a nosedive following speculation about US President Donald Trump's pick for the next Federal Reserve chair, hinting at a potentially more hawkish policy direction. This, combined with profit-taking after a sustained rally, resulted in a sharp decline in silver prices.
• The market saw increased volatility due to geopolitical tensions and economic ambiguities, prompting investors to seek refuge in safe-haven assets like silver.
• Despite the downturn, silver found support from a structural market deficit and the strategy of moving into physical assets during periods of concerns about mounting government debt and currency devaluation.
• The significant drop in silver prices was also influenced by speculative buying and profit-taking actions, underlining the speculative aspect of the market and the impact of investor sentiment on price fluctuations.