- Gold extends losses after biggest drop in over a decade
- Silver plunges as much as 12% after record slump on Friday
- Asian stocks set for worst two-day drop since early April
- Bitcoin declines to fresh 10-month low in Asia
Given the crowded docket of heavyweight losers, commodities like platinum and palladium may not get too much attention. But their movements are also remarkable, and lend much-needed texture to the broader market move. The former peaked last week above $2,922 an ounce; right now, it’s now trading near $1,940. Jake Lloyd-SmithEnergy and Commodities Editor, Singapore With precious metals under more pressure, copper’s losses are deepening too. Benchmark futures in London just extended declines to more than 5% on the day. Europe looks set up for a pretty tough session. Jake Lloyd-SmithEnergy and Commodities Editor, Singapore
A key focus for the week’s trading to come will be the magnitude of outflows from (or, conversely, the stickiness of) holdings in precious metals-backed exchange-traded funds. For sliver , these have already been negative for a while, and that trend served as an early-warning sign that a reversal in prices was likely on the cards. The global tally shrank by 4.6% in January.
That’s the most since 2022. Meanwhile, ETFs for gold have been much more solid. They’ve just expanded for a fourth straight week, according to data tracked by Bloomberg. Jake Lloyd-SmithEnergy and Commodities Editor, Singapore
Multiple Metals Futures in China Fall by Daily Down Limit
Another wave of selling has emerged in silver, which has once again declined by more than 10%, underscoring the intensity of liquidation across precious metals. Gold has also extended its losses, now down 5.8%, raising the likelihood of further deleveraging in commodity-linked positions.
Here’s a chart that shows the wave of Chinese metals trading that helped carry global prices higher before the rout. This shows throughput for all the six base metals on the Shanghai Futures Exchange — what began as a December surge became an all-out frenzy in January, taking volumes to by far their biggest monthly total ever.
