Silver falls as US extend tariff deadline

Silver prices slipped by around 1% to approximately $36.50 per ounce on Monday, retreating from levels near a 13-year high, as easing geopolitical tensions and stronger U.S. economic data weakened demand for the precious metal as a safe-haven asset.

The pullback followed an announcement by President Donald Trump effectively extending the timeline for reimposing broad reciprocal tariffs, which had previously stoked global uncertainty. Treasury Secretary Scott Bessent clarified that existing tariffs would revert to April 2 levels for countries that fail to reach trade agreements with the U.S. by that date—granting more room for diplomacy and reducing immediate fears of a trade escalation.

So far, only a few nations—including China, the United Kingdom, and Vietnam—have reached partial accords with Washington, while others continue negotiations amid lingering uncertainty. Nevertheless, Trump maintained a combative tone, warning that a new 10% tariff could target nations he claims are aligning with “anti-American policies on BRICS,” a group increasingly viewed as a rival economic bloc. While the extended deadline eased market nerves in the short term, the threat of broader tariffs continues to cast a shadow over the global trade outlook.

Meanwhile, silver came under additional pressure after a stronger-than-expected U.S. jobs report for June tempered expectations of an imminent interest rate cut by the Federal Reserve. Non-farm payrolls exceeded consensus forecasts, reinforcing views that the labor market remains resilient despite high borrowing costs. As a result, U.S. Treasury yields edged higher, and the dollar strengthened, both of which typically weigh on non-yielding assets like silver.

Despite Monday’s pullback, analysts note that silver prices remain elevated by historical standards, supported by longer-term demand trends tied to green technologies, including solar energy and electric vehicles, as well as ongoing macroeconomic uncertainty. Still, near-term price action is likely to be influenced by developments in U.S. trade policy and incoming economic data, particularly inflation figures and Fed commentary.