Spot silver fell nearly 3% to $56.73 per ounce on Tuesday, caught in a broad market selloff that swept across commodities and equities. The decline pushed the precious metal below the $57 mark, erasing gains from earlier in the week.
Precious metal caught in risk-off wave
The selloff appeared broad-based, with investors moving away from risk assets. Silver, which is both a precious metal and an industrial commodity, often sees sharp moves during periods of market stress. Tuesday's drop was part of a wider downturn that also hit gold and other commodities.
While the exact catalyst for the selloff wasn't immediately clear, the move lower came as traders digested a shift in sentiment. A stronger dollar and rising bond yields typically weigh on non-yielding assets like silver, though the facts don't specify those drivers here.
The $56.73 close marks a notable decline from recent levels. Silver has been volatile this year, swinging between industrial demand and safe-haven buying. Tuesday's action leaned heavily toward the latter, with sellers dominating.
For now, the metal remains under pressure as the broader market selloff continues. Traders will watch for any signs of stabilization in the coming sessions.
