New York, Jan 30, 2026, 06:10 EST — Premarket
- Spot silver dropped roughly 14%, falling back to around $100 an ounce after reaching a record high just the day before
- Ahead of U.S. President Donald Trump’s anticipated Fed chair announcement, traders pared back risk.
- Attention shifts to the Fed nominee and the U.S. jobs report due next week
Silver prices plunged on Friday, undoing a sharp rally, as the dollar strengthened and investors geared up for U.S. President Donald Trump’s anticipated Fed chair announcement.
This move is significant since silver’s been behaving like a high-stakes wager on U.S. policy and the dollar—and that trade has become crowded. A swift change in sentiment could trigger rapid selling across futures, ETFs, and leveraged bets.
The timing is key, hitting right at month-end when major funds tend to rebalance and traders lock in gains. Following a rally that sent prices to all-time highs, the market was already primed for a pullback.
Spot silver fell 14.1% to $99.77 an ounce, pulling back sharply from Thursday’s record high of $121.64, according to Reuters data. Independent analyst Ross Norman pointed to a buildup of “speculative excess,” while UBS’s Giovanni Staunovo described the retreat as a “healthy” correction following the recent surge. (Reuters)
The dollar index climbed 0.37% to 96.48, clawing back some ground after this week’s decline. This came after Trump announced he plans to name his Fed pick on Friday, according to a separate Reuters report. A firmer dollar tends to pressure dollar-priced metals, as it raises costs for buyers paying in other currencies. (Reuters)
Trump plans to unveil his nominee following talks with former Fed governor Kevin Warsh at the White House, Reuters reported. Warsh is widely regarded as the leading candidate. He has pushed for shrinking the Fed’s balance sheet—the central bank’s bond holdings—a position traders interpret as signaling tighter financial conditions. (Reuters)
The most-active COMEX silver futures last fetched roughly $99.165, tumbling some 13.3% for the session, according to CME data. (CME Group)
Silver-linked assets slipped before the U.S. market opened. The iShares Silver Trust ETF fell roughly 14% in premarket trading, MarketWatch reported. (MarketWatch)
Silver often toggles between two roles: a safe-haven metal like gold and a key industrial material in electronics and solar tech. This dual nature can fuel sharp moves when traders scramble to adjust valuations on growth, interest rates, and the dollar simultaneously.
The selloff works both ways. Should the Fed chair pick turn out less hawkish than expected, or if the dollar rally loses steam, silver could bounce back fast — particularly as liquidity thins ahead of weekend headlines.
The U.S. employment report, set for Feb. 6, will be the crucial data point next week, frequently shifting forecasts on future interest rate moves. (Bureau of Labor Statistics)
