Spot Silver extends pullback from 1 1/2-week peak

Spot Silver extended its pullback from recent 1 1/2-week high near the $83 mark, while tracking Gold. Investors weighed soft US jobs data, which reinforced Fed rate cut expectations, along with stronger-than-expected ISM data.

Still, sentiment remained balanced, with market participants mindful of the potential for profit taking at current close to record price levels.

Additionally, the US Dollar continued holding close to an over two-week high, exerting pressure on the dollar-priced metal.

US job openings decreased to a 14-month low of 7.146 million in November, while hiring remained sluggish, the latest data showed.

At the same time, US private sector added 41,000 jobs in December, falling short of forecasts of 47,000, and after 29,000 jobs were cut in November.

On the other hand, US services sector registered the strongest growth since October 2024 in December. The ISM Services PMI rose to 54.4 in December from 52.6 in November.

Investor focus now sets on Friday’s more comprehensive Non-Farm Payrolls report, which may provide fresh clues on the Fed’s monetary policy path.

Meanwhile, the annual Bloomberg Commodity Index rebalancing, designed to keep the index in line with the current state of the global commodity market, starts this week.

“Gold and silver remain under pressure as the annual commodity-index rebalancing gets underway. Over the next five days, COMEX futures could see selling in the region of $6 to $7 billion in each metal,” Ole Hansen, head of commodity strategy at Saxo Bank, was quoted as saying by Reuters.

Spot Silver was last down 3.17% on the day to trade at $75.71 per troy ounce.

Last year, Silver demonstrated a stellar performance, driven by its designation as a critical US mineral and amid supply tightness. Silver scaled a record high of $83.62/oz. on December 29th. The white metal also registered its best annual performance on record in 2025, gaining 147%.