Gold and Silver Close the Week with Losses: Reasons and Effects

Current Situation in the Gold and Silver Market

Gold and silver managed to recover some of their losses early on Friday, but the sharp selling waves in global technology stocks and the **strengthening US dollar** did not sufficiently support the metals' recovery efforts at the beginning of the week. Therefore, precious metals are poised to end the second week with losses as well.

Spot Gold and Silver Prices

Spot gold increased by 0.4% to reach $4,790.80; however, it experienced a weekly decline of 1.4%. Spot silver, after a sharp drop of 19.1% in the previous session, remained flat at $71.32 per ounce. Earlier in the day, it fell by about 10%, dropping below $65 and hitting its lowest level in over a month and a half.

Ongoing Downtrend in Silver

Known as the white metal, silver is preparing to close the second consecutive week with losses. Last week, silver experienced its largest weekly loss since 2011, declining by approximately 18%, and this week it lost an additional 16% in value.

Market Analyses and Expectations

Tastylive Global Macro Strategy Chief **Ilya Spivak** stated, "Risk appetite has decreased; the declines in stocks and the struggles faced by Bitcoin indicate that the overall risk perception has weakened. Under these conditions, gold remains relatively resilient, while silver is under significant risk aversion pressure."

JP Morgan's Silver Expectations

**JP Morgan** noted that silver's relatively high valuation is more susceptible to deeper corrections during risk aversion periods, indicating a short-term expectation for silver to find a bottom around $75–80, and predicting a recovery toward $90 next year.

Situation of Other Precious Metals

Spot platinum fell by 4.7% to $1,892.74 after reaching a record level of $2,918.80 on January 26, while palladium rose by 0.8% to $1,628.95. Both metals are also on track to end the week with losses.