Silver gave back Monday's payrolls-driven gains on Tuesday as a firmer dollar pulled the metal lower ahead of the June FOMC minutes. Spot silver traded at $60.95, down 1.76% on the session, while a second source pegged the decline near 3% amid Middle East tensions.
A rebounding dollar reversed silver's brief rally within a day, and traders trimmed positions built on Monday's soft jobs report rather than fight the move. Spot silver traded at $60.95 at 18:04 GMT on Tuesday, down $1.10 or 1.76%, according to FXEmpire. The session high hit $62.16 before the low printed at $60.31.
Monday's payrolls trade unwinds
Silver caught a bid Monday after the June jobs number eased some pressure around near-term tightening, but that rally lasted exactly one session. The dollar firmed through Tuesday and the trade reversed just as quickly. One employment report does not settle the rate question while inflation is still running above where anyone wants it.
The profit-taking looked deliberate rather than panicked. Positions built on the jobs data were being reduced ahead of Wednesday's release, and no one was fighting the dollar to hold them.
FOMC minutes run the clock
Traders held back from fresh risk ahead of the June FOMC minutes, wanting to see how the committee discussed the rate path before committing in either direction. Investment-related selling stayed selective rather than a broad washout. Industrial demand still provided a floor underneath the market, keeping the selloff contained.
Geopolitics and the technical picture
Middle East tensions were keeping energy prices elevated, yet silver traders were aware of it without trading on it. FXStreet reported silver tumbling nearly 3% to $60.26 after Iranian attacks on two vessels in the Strait of Hormuz. The metal remains downward-biased while it fails to clear resistance in the $64.00-$65.00 range.
On the downside, FXEmpire flagged a near-term pullback target of $59.44 to $58.53, where real buying interest either shows up or the market heads deeper toward the $46.48 value zone. Those looking to trade silver now wait for the minutes.
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