New York, Feb 1, 2026, 12:23 EST — The market has closed.
Spot silver dropped to $84.63 an ounce on Jan. 30, plunging 26.9% in a single day as investors cashed in after its record rally; gold also dipped 9.1%. (Trading Economics)
China’s Industrial and Commercial Bank of China warned Sunday that precious metals have seen “highly volatile” swings lately, urging investors to carefully evaluate risks and steer clear of impulsive trades. (Reuters)
The size of the move is crucial—it’s turning into a liquidity issue, not just a macro one. Ole Hansen of Saxo Bank noted, “Volatility has surged to levels that are beginning to impair liquidity,” highlighting a sharp pullback in metals after the U.S. dollar bounced back and Washington hinted at a shift at the Federal Reserve. (Saxo Bank)
Silver moves tugged by two forces: as a safe-haven asset and as an industrial metal. When liquidity dries up, sharp price swings can ripple through hedging expenses and derivatives trades. At that point, stop-loss triggers and margin calls overshadow the underlying fundamentals.
In the U.S., selling pressure hit the iShares Silver Trust. It ended Jan. 30 at $75.44, trading roughly 19% below its net asset value (NAV)—the per-share worth of its underlying assets. (BlackRock)
A Balasubramanian, managing director and CEO of Aditya Birla Sun Life Mutual Fund, described the market as “in a complete speculative mode,” highlighting recent regulatory moves like increased margins and stricter delivery rules designed to rein in excesses. (The Economic Times)
The next hurdle arrives fast. Traders will zero in on the week’s U.S. data, starting with the January jobs report — forecast to show payrolls rising by 70,000, unemployment steady at 4.4%, and hourly wages up 0.3%. Meanwhile, central banks like the ECB and Bank of England are set to announce rate decisions, and China’s PMI readings will provide fresh clues on industrial demand, influencing the silver market. (Trading Economics)
Silver’s next move might hinge more on technical factors than macro trends. Should the recent slide push more leveraged traders to the exits, the metal could overshoot on the downside again. On the flip side, a weaker dollar or renewed buying for safety could trigger a sharp rebound.
The trigger this time is the U.S. Employment Situation report for January 2026, set for release on Feb. 6 at 8:30 a.m. ET — a key data point that can shift rate expectations, the dollar, and with it, silver prices. (Bls)
