Severe storm in the silver market

The extraordinary fluctuations in silver over the past few weeks have been felt in the global economy and in the portfolios of Turkish investors. Silver, which broke record after record throughout 2025, had reached a new peak at the beginning of this week, surpassing the 85 dollar level. However, with intense selling pressure that began in the evening hours, there was a sudden drop in prices, and the ounce price of silver lost nearly 10 percent of its value, falling below 76 dollars.

This sharp decline in silver was also reflected in gram prices from the ounce side. In the domestic market, gram silver retreated from the 120 lira level at the beginning of the week to 107 lira. This volatility has increased concerns among investors.

The rise in risk appetite and the strengthening of the US dollar in international markets have negatively affected not only silver but also gold. The ounce price of gold fell by 3.8 percent during the day to 4,880 dollars. Experts point out that economic indicators from the US and the rise in the dollar index have accelerated exits from metals known as safe havens.

The notable rise in silver throughout 2025 reached its peak on January 29, when a historic level of 121.60 dollars per ounce was seen. However, this bright picture changed direction with subsequent global political developments, geopolitical risks, and uncertainties in US domestic politics.

Analysts emphasize that silver prices are now being heavily influenced by geopolitical risks and political debates in the US, beyond just economic data. In particular, trade policies under the Trump administration and ongoing debates regarding the independence of the US Federal Reserve are disrupting safe-haven demand in the markets.

Banking giant J.P. Morgan, in its projections for 2026, painted a positive picture for silver despite the volatility. According to the bank's assessments, silver is expected to stabilize at an average of around 81 dollars in 2026. Analysts pointed out that the 75-80 dollar band forms an important support level in the short term, stating that if the recovery continues, there is a possibility for prices to approach the 90 dollar level again. Furthermore, investors are warned that the market is still searching for a new floor following the selling wave that occurred on January 31, which pulled the price back below 65 dollars.

News Source: 12punto