NEW YORK, January 5, 2026, 03:46 ET — Market closed
Silver prices jumped nearly 4% on Monday as investors reached for safe-haven assets—those bought when uncertainty spikes—after the United States captured Venezuelan President Nicolas Maduro. Spot silver rose 3.9% to $75.50 per ounce by 0742 GMT, after hitting a record $83.62 on Dec. 29 and ending 2025 up 147%. “The kidnapping of a foreign head of state naturally leads to high degrees of instability,” said Tim Waterer, KCM Trade’s chief market analyst. Reuters
The move matters for U.S. stock-market traders because the iShares Silver Trust (SLV) holds physical bullion and is built to track the LBMA Silver Price, a London benchmark. SLV closed at $65.75 on Friday, up about 2.1% from Dec. 31, and the trust held about 528.7 million ounces of silver as of Jan. 2, iShares and Nasdaq data show.
Rate expectations are the other leg of the trade. Philadelphia Fed President Anna Paulson said additional U.S. rate cuts may take some time after the central bank trimmed rates by 75 basis points (0.75 percentage point) in 2025 to a 3.5%–3.75% target range. Lower rates typically support precious metals because they do not pay interest.
The dollar’s strength is a counterweight. The greenback touched multi-week highs against the euro and yen on Monday as traders focused on a heavy run of U.S. data despite the Venezuela headlines, Reuters said. A firmer dollar can make dollar-priced metals more expensive for buyers using other currencies.
Silver’s rally has also been underpinned by a tight physical market and strong industrial demand, which can amplify moves when investors pile in. The metal logged one of the biggest annual gains across major assets in 2025, aided by supply shortages and robust demand, Reuters reported.
For now, traders are watching whether silver can hold above the mid-$70s without fresh headline fuel. The late-December peak remains the obvious reference point, and a quick failure to build on Monday’s jump would leave the market vulnerable to another sharp pullback.
But the upside bet has clear tripwires. Any easing in Venezuela tensions, or U.S. data that pushes yields and the dollar higher, could pressure silver and silver-backed shares by raising the opportunity cost of holding non-interest-bearing assets.
