Silver Price News: Silver Ends Lower After Spiking Above $34.00 an Ounce

Silver prices ultimately ended lower on Friday, having briefly rallied above the $34.00 an ounce mark.

Prices eased to a low of $32.18 an ounce late Friday, falling sharply from an intraday high of $34.34 an ounce – a three-month high.

US manufacturing sends bullish signal

US manufacturing production rose by 1% in January, on a year-on-year basis, according to figures released Friday, following months of contraction. This may have sent a bullish signal for industrial demand for silver in the US, a major consumer of the metal. However, on a month-on-month basis, January’s figure represented a 0.1% drop.

Gold pulls silver lower

As the markets mulled the true impact of the latest US stats, in the background, gold prices went into sharp retreat on Friday as efforts to find a peace deal in Ukraine got underway at a conference in Munich. The sudden drop in gold prices provided a bearish backdrop for silver, which duly followed lower to end Friday about 0.7% in the red.

November and December 2024 saw quite a shake-out for silver prices, which formed something of a base at around $29.00 an ounce, and this level has served as a platform for solid gains since the start of 2025, with prices moving higher once again to test their 12-year highs seen in October 2024.

Technical analysis

Silver’s brief foray into higher territory on Friday saw prices punch up through descending oblique major resistance at $32.54 an ounce. While this could be construed as bullish, silver’s crash back down later in the day indicates that buyers are unwilling to sustain purchasing at those higher levels, raising questions over the market’s upward momentum. That being said, silver did manage to hold above oblique minor support at $31.98 an ounce last week, and this leaves an open question over which direction silver will ultimately take when it does break out of its current wedge formation.