Silver prices cool off after record-breaking run
After soaring more than 8% in recent days, silver prices have finally taken a breather, dropping to $57.45 an ounce in early trading.
This pullback comes as the market showed signs of being overheated—think of it like too many people jumping on the bandwagon at once.
Gold also dipped slightly during this period.
What's behind the wild ride?
Silver's big rally was mainly about tight supply and investors piling in, especially with inventories at Shanghai Futures Exchange hitting decade lows.
Daniel Ghali from TD Securities says investment demand is really what's driving things right now, even though physical trading—particularly in London—is pretty quiet.
Hopes for a US interest-rate cut are also adding fuel, since lower rates usually make metals like silver more appealing.