NEW YORK, December 30, 2025, 04:07 ET — Premarket
- Spot silver rebounded about 3% after Monday’s slide from record highs.
- A margin hike by the CME and year-end profit-taking have amplified price swings.
- Traders are watching whether silver can hold above Monday’s lows and rebuild momentum into 2026.
Spot silver rose early Tuesday after a steep selloff a day earlier, with the silver price today up 3.1% at $74.49 an ounce by 2:09 a.m. ET, after touching a record $83.62 in the prior session.
The rebound matters because silver’s late-year surge has drawn heavy leverage and momentum trading, leaving prices prone to sharp, fast moves when liquidity is thin around year-end.
That volatility has widened the gap between highs and lows over the past 24 hours, forcing traders to reassess positioning as silver heads into 2026 still near record territory.
On Monday, spot silver slid 9.5% to $71.66 an ounce in afternoon U.S. trading after briefly hitting $83.62, as investors locked in gains after recent rallies, Reuters reported.
David Meger, director of metals trading at High Ridge Futures, said profit-taking drove the pullback after prices hit extreme highs, while TD Securities strategist Daniel Ghali pointed to holiday-thinned liquidity and policy-related positioning around the U.S. critical minerals process.
A separate pressure point came from the exchange itself. The CME raised margin requirements for gold, silver and other metals in a notice posted on Friday, and silver futures fell about 8% early Monday after the change, the Associated Press reported.
Margin requirements are the cash deposits traders must post to hold futures positions. When an exchange raises them, some investors cut trades to free up cash, which can accelerate selloffs in fast markets.
Technical signals also flipped quickly. Reuters said the relative strength index (RSI) for gold and silver fell back from “overbought” territory on Monday — a momentum gauge traders use to flag when prices have run too far, too fast.
Macro expectations remain a key anchor. Traders expect at least two U.S. rate cuts next year, Reuters reported, and lower rates tend to support non-yielding assets such as precious metals because they do not pay interest.
Silver’s fundamental story has also stayed in focus. The metal is up 158% year-to-date, Reuters said, helped by its addition to the U.S. critical minerals list — a designation that signals strategic importance — alongside supply constraints, low inventories and strong industrial and investment demand.
“I’m expecting the longer-term rally to continue for both gold and silver, with price targets in the next six months at $5,010/oz for gold and $90.90 for silver,” Kelvin Wong, senior market analyst at OANDA, said.
Across the complex, spot gold rose 0.7% to $4,361.71 an ounce, platinum added 1.8% to $2,146.81, and palladium slipped 0.7% to $1,605.72, according to Reuters.
