Silver prices kept falling Tuesday, hovering around $46.80 an ounce as Asian markets opened. It’s been a three-day slide now—investors seem more hopeful about a U.S.-China trade deal, so they aren’t rushing to safer investments like silver.
Following news of progress between US and Chinese officials during talks in Malaysia—a possible agreement to reduce trade disputes—investors became more optimistic. A preliminary trade framework was unveiled, suggesting lower tariffs and less financial strain. A little bit of uncertainty looms as President Trump and President Xi prepare to meet in South Korea shortly.
U.S. Treasury Secretary Scott Bessent revealed encouraging news that discussions of 100% tariffs on Chinese imports are no longer on the table. In addition, China has agreed to increase its soybean purchases while suspending export restrictions on rare earth elements, a move that may bring better times for global trade.
Even though silver prices keep falling, they might not drop much further. Most traders figure the Federal Reserve will lower interest rates slightly this week. Data suggests there’s almost a 97% chance of a rate cut next month—potentially boosting metals such as silver that don’t offer returns through interest.
