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Silver Hits Record Above $80, Then Reverses on Profit-Taking and Margin Hike

Expectations for easier U.S. policy plus chronic supply strains set new highs before leverage curbs in thin trading triggered a fast reversal.

Overview

  • Spot silver jumped to about $84 an ounce overnight before sliding 4%–8%, with futures retreating to roughly $75 after clearing $80 for the first time.
  • CME raised the initial margin for March 2026 silver futures to about $25,000, prompting deleveraging and amplifying intraday volatility.
  • Market reports highlight structural tightness with persistent deficits, depleted inventories, delivery delays and rising premiums, alongside robust demand from solar, EVs and AI hardware.
  • China’s export licensing regime beginning January 1, 2026 limits silver exports to approved producers, heightening supply risk into 2026.
  • Silver remains up roughly 160%–181% in 2025 on rate‑cut expectations and a weaker dollar, even as some strategists warn of bubble‑like conditions and overbought signals.