2026.02.2415:14:44UTC+00Silver Halts Recovery

Silver prices fell nearly 1% to $87.50 per ounce on Tuesday, as a sharp wave of liquidation in China overshadowed a broader move into safe-haven assets. Persistent demand driven by the newly imposed 15% US global tariff and upcoming nuclear talks with Iran has not been enough to offset the downward pressure that followed last week’s record 38% intraday plunge—an event that abruptly ended the speculative frenzy seen in early February.

The correction is being exacerbated by solar manufacturers, who are rapidly substituting silver with copper in an effort to contain rising costs, even as the metal enters its sixth consecutive year of structural supply deficits. At the same time, industrial demand from the AI and electric vehicle sectors is helping to provide a firm underlying floor for consumption.

A notable 10% price premium in China’s domestic market points to acute local supply tightness, though this has yet to be fully reflected in international benchmarks. Against this backdrop, investors are closely monitoring the $85 support level and looking to a potentially weaker US dollar as a key catalyst for any sustained recovery, amid ongoing uncertainty over global trade policy.