The price of silver has dropped to roughly $48.6 per ounce, indicating a weekly loss of more than 6%. This decline follows a period of strong gains driven by robust demand for safe-haven assets and growing optimism surrounding silver’s industrial applications in solar energy, data centers, and electric vehicles. Both London and Shanghai inventories have tightened, supporting earlier price increases, while market participants have closely monitored evolving U.S.–China trade relations and anticipated upcoming U.S. inflation data.

Silver prices experienced further downward pressure on Friday, closing at approximately $48.6 per ounce, marking a weekly decline exceeding five percent. The recent pullback is attributed to profit-taking after the preceding rally, which had been underpinned by industrial demand and constrained inventories. Investors remain attentive to global macroeconomic developments, particularly the forthcoming U.S.–China summit and its potential implications for trade dynamics.

Market participants are also focused on the upcoming U.S. Consumer Price Index report, which is expected to provide insights into persistent inflationary pressures. While the data is unlikely to prevent a potential rate cut by the Federal Reserve in the near term, it could shape discussions regarding monetary policy in December, especially if inflation surprises to the upside. This context has contributed to the observed moderation in silver prices despite strong industrial and safe-haven demand.

Overall, the silver market reflects a convergence of profit-taking, inventory dynamics, and macroeconomic considerations. While industrial and investment demand remains significant, external factors such as U.S.–China trade relations and inflation expectations are influencing short-term price movements. Traders continue to monitor these developments closely, balancing technical selling with longer-term demand fundamentals.