Silver Retreats After Record High As London Squeeze Eases And Arbitrage Narrows

Benzinga

Silver fell 1.6% to $53.55 after a record rally as supply eased and shipments narrowed price gaps with New York. Lease rates stayed high, while gold hit a record above $4,179 amid U.S.-China tensions and safe-haven demand.

Transcript

00:00It's Benzinga bringing Wall Street to Main Street.

00:02Spots silver prices fell 1.6% Tuesday after hitting a record $53.55 in London

00:08as an historic supply squeeze began easing, according to Bloomberg.

00:12Traders said shipments of silver bars to London helped narrow the price gap in New York

00:16to about $0.80 per ounce from $3 last week.

00:19Silver lease rates surged about 30% Friday, driving up costs for short sellers.

00:24BlackRock's EB Hambrose said the volatility reflects mismatches between paper contracts

00:29and physical supply.

00:31Analysts weren't of a possible pullback in the illiquid market,

00:34with Goldman Sachs setting risk from weighting investment demand.

00:37Bank of America raises 2026 silver forecast to $65 an ounce,

00:41setting market deficits and lower rates.

00:44Gold also climbs to a new record above $4,179

00:47as safe haven demand strengthened amid U.S.-China trade tensions and policy uncertainty.

00:52For all things money, visit Benzinga.com.

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