The global markets have witnessed the most significant precious metals price collapse ever recorded. This information is being reported by Bloomberg, citing data sourced from trading platforms.
In less than a full day, the price of silver plummeted by 26%, setting an all-time record. Gold saw its value decline by 9%, marking its worst performance in the last decade. These widespread sell-offs were ignited by US President Donald Trump’s nomination of Kevin Warsh for the role of Federal Reserve Chair—this announcement triggered a sharp strengthening of the dollar and compelled major market participants to exit their holdings.
Dominic Sperzel, Head of Trading at Heraeus Precious Metals, described the current conditions as the “wildest” experience of his entire career. He stated that gold has, for the moment, ceased to function as a hallmark of security, transforming instead into a volatile instrument suitable for speculative trading. Previously, during the peak of market excitement, an ounce of gold reached a historic high of $5,595, and silver hit $121, but following news originating from the White House, large funds in China commenced substantial profit-taking activities.
It had previously been disclosed that gold and silver experienced their steepest downward movement amidst the strengthening of the US currency. During trading sessions on the Comex exchange, the price of gold briefly dipped below the psychological threshold of $5,000 per ounce. Experts point out that this present volatility has also impacted the industrial metals sector—the London price of copper also retreated from its historical peaks, shedding more than 3%.
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