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Silver (XAG/USD) trades around $91.70 per ounce on Thursday at the time of writing, down 1.70% on the day, after having reached a new all-time high close to $94 earlier in the day. The white metal is correcting from recent record levels amid profit-taking and a partial retreat in safe-haven demand.

The pullback in Silver comes as some geopolitical concerns ease. US President Donald Trump said that reports suggest Iran-related crackdown killings are easing and that no mass executions are planned. These comments have helped calm, at least temporarily, fears of a direct military escalation, reducing the appeal of safe-haven assets such as Silver.

At the same time, the non-yielding metal remains under pressure from stronger-than-expected US macroeconomic data, which reinforce the view that the Federal Reserve (Fed) could keep interest rates unchanged in the coming months. This outlook supports the US Dollar (USD) and weighs on precious metals, including Silver, which are sensitive to movements in real yields.

On the political front, the lack of immediate new tariff measures on critical mineral imports announced by the US administration has also helped ease trade tensions, limiting defensive demand for Silver.

Despite the current correction, the medium-term backdrop remains constructive. According to analysts at OCBC, Silver has posted strong gains since the start of the year, supported by persistent supply deficits, solid industrial demand, and spillover strength from Gold. These structural factors are helping keep XAG/USD anchored near historically elevated levels, even as short-term consolidation phases remain likely.

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