Silver Price News: Silver Edges Back From Seven-Week Highs

Silver prices ultimately lost ground on Friday, as the precious metal pulled back after four straight days of gains.

Prices eased to a low of $31.22 an ounce by Friday afternoon, having set a 7-week high of $32.10 an ounce earlier in the day – the highest price since December 12^th.

US tariffs threat boosts safe-haven demand

Silver prices had made solid gains earlier in the week, as upcoming US import tariffs have fuelled concerns over their impact on inflation and global growth, triggering investor interest in safe haven assets such as gold and silver.

However, four straight days of gains for silver appeared to prompt some profit taking ahead of the weekend, leaving silver prices down around 0.8% day-on-day.

Another supply deficit forecast for 2025

On the fundamentals side, the global silver market is forecast to see another significant supply deficit for the fifth consecutive year in 2025, industry group the Silver Institute said on January 29^th.

Industrial demand for silver will remain the key driver of this supportive supply and demand dynamic, with industrial demand volumes projected to hit a new record in 2025, it said. Concerns over US trade policies have triggered short covering and deliveries of silver into CME warehouses since late 2024, the industry group said. This factor has combined with heightened economic and geopolitical uncertainties to underpin a solid recovery in silver prices since the start of the year, it said.

Upcoming data

Looking ahead, Monday will bring monthly manufacturing data from the Euro Area, UK, US and Canada, providing further signals on industrial demand for silver in several key consuming countries. Then looking ahead to Tuesday, the markets will get updated monthly US JOLTs job openings figures and factory orders for December, for the latest pulse-check on the US economy.

Frank’s experience covering the commodities markets spans 22 years, with a particular specialism in metals, carbon and energy markets. He has worked as a senior editor for S&P Global Commodity Insights (formerly Platts) and before this, at ICIS-LOR, a part of Reed Business Information (Reed Elsevier), where he covered the petrochemicals markets from 2003 to 2005.

This publication is for informational purposes only and is not intended to be a solicitation, offering or recommendation of any security, commodity, derivative, investment management service or advisory service and is not commodity trading advice. This publication does not intend to provide investment, tax or legal advice on either a general or specific basis.

Read our Editorial Guidelines here.