Silver Set for Second Weekly Gain

Silver climbed nearly 2% toward $90 per ounce on Friday, poised for a second consecutive weekly gain, supported by US tariff uncertainties and elevated geopolitical risks. Investors weighed policy uncertainty in Washington after the US Supreme Court struck down Donald Trump’s broad reciprocal tariffs last week. The administration then implemented a new 10% global tariff, which could rise to 15% for certain countries, fueling concerns that existing trade deals between the US and its partners might be undermined. Meanwhile, a hawkish shift among Federal Reserve officials could limit gains in precious metals, with robust US economic data supporting expectations for an extended rate hold. On the geopolitical front, the US and Iran agreed to continue nuclear negotiations next week, following progress during Thursday’s talks in Geneva.

Silver prices fell below $87 per ounce on Thursday, retreating from a three-week high of $91.3 touched on Wednesday, as easing geopolitical premiums and a firm interest rate outlook overshadowed persistent trade uncertainty. Negotiators in Geneva signaled potential progress in US Iran nuclear talks which reduced the immediate safe haven demand that supported prices on Wednesday. Demand for the metal was further capped by a resilient US dollar as January PCE inflation stayed sticky at 3% reinforcing expectations that the Fed will keep interest rates steady. On the supply side regional selling pressure intensified as traders locked in profits following a 3% weekly gain while waiting for clarity on the administration plan to raise global tariffs from 10% to 15% under Section 122. This trade pivot followed a February 20 Supreme Court ruling that invalidated previous emergency duties.

Silver fell toward $87 per ounce on Thursday, retreating from a three-week high of $91.3 touched on Wednesday, as investors weighed upcoming US-Iran nuclear talks and signs that US interest rates could remain on hold for some time. Despite the pullback, the metal is up over 3% for the week, supported by lingering uncertainty over US trade policy and escalating geopolitical tensions. Negotiators from Iran and the US are set for a third round of nuclear talks in Geneva, amid a significant US military build-up in the Middle East, with several countries warning citizens to leave Iran due to potential US strikes. Meanwhile, US Trade Representative Jamieson Greer suggested that tariff rates for certain countries could rise to 15% or higher from the recently imposed 10%, without providing further details. On monetary policy, the Federal Reserve is widely expected to keep interest rates steady next month amid concerns about rising inflationary pressures.