NEW YORK, Feb 3, 2026, 11:21 (EST) — Regular session
- PSLV rose about 10% in late-morning trading, tracking a sharp rebound in silver.
- The move follows a two-day rout that was exacerbated by higher futures margins and shifting Fed leadership expectations.
- Next focus: whether discounts to bullion value narrow as volatility cools.
Sprott Physical Silver Trust (PSLV) climbed about 10.3% to $28.46 in late-morning trading on Tuesday, as a rebound in silver pulled the physically backed product higher. About 13.0 million units had traded, and the fund is listed on NYSE Arca.
It is a sharp turn for a vehicle that has become a pressure valve for the metal’s whipsaw. After margin calls and forced selling rattled the silver complex, traders are looking for signs the bounce has legs.
Spot silver rose 9.4% to $86.92 an ounce by mid-morning, after a record 27% one-day drop on Friday and another 6% fall on Monday. “I view the recent losses as corrective within the long-term uptrend,” said Peter Grant, vice president and senior metals strategist at Zaner Metals, while CPM Group managing partner Jeffrey Christian said prices should “resume their longer term rise” once the market settles. The swing followed Donald Trump’s move to tap Kevin Warsh to lead the Federal Reserve after Jerome Powell steps down in May, alongside higher futures margins from CME Group; U.S. Bureau of Labor Statistics also said the January employment report would not be published this Friday because of a partial federal shutdown. Reuters
On Monday, gold and silver extended their slide as futures exchanges tightened margin requirements, which are the cash deposits traders must post to hold positions. “Gold and silver are on a rollercoaster ride,” said John Meyer, an analyst at SP Angel. Michael Hsueh at Deutsche Bank said the conditions did not look primed for a sustained reversal in gold, but pointed to continued volatility. Reuters
The trust said its net asset value, or NAV — the value of its silver after fees — was $27.13 per unit at Monday’s close, with units closing at $25.80, a 4.9% discount. It held 216.5 million ounces of silver worth $17.21 billion, with bars kept at the Royal Canadian Mint and RBC Investor Services listed as trustee, according to Sprott’s website. Units also trade on the Toronto Stock Exchange.
Other silver vehicles rose in tandem, with iShares Silver Trust up about 10.5% and abrdn Physical Silver Shares ETF up about 10.5%.
In January, Sprott Asset Management LP, a unit of Sprott Inc., said it updated an at-the-market equity program that lets the trust issue up to $2.0 billion of units in the United States and Canada. The manager said it would use any proceeds to buy physical silver bullion.
That facility can add supply when buyers rush in, a mechanism that can narrow big premiums but also cap upside in the units when issuance ramps. It doesn’t stop discounts, though, and PSLV’s gap to its metal value is one thing traders wil
l keep checking during this bout of volatility.
But the metal is still coming off a historic swing, and sharp moves in the dollar or another round of margin hikes could trigger fresh forced selling. In that kind of tape, PSLV can overshoot the bullion value either way, especially around heavy volume.
For now, the immediate watch is whether silver holds above last week’s lows once the bounce fades and liquidity normalises. Options activity and fund flows will be key tells.
A firm date on the near-term calendar is Feb. 18, when minutes from the Jan. 27–28 Federal Open Market Committee meeting are due at 2:00 p.m. ET.
