Tech shares collapsed on Friday, sending risk‑off sentiment into safe‑haven assets like gold and silver. Gold slid 3.5% to $3,880.97 an ounce by 2:13 p.m. ET, the lowest since October 2025, while silver plunged 6.5% to $49, breaking the $50 barrier for the first time in 11 months.
The drop marks a 30% slide from the January record of $5,595, with Asian demand remaining muted. Central‑bank buyers have historically stepped up when prices fall below $4,000, hinting at a potential upside.
Silver’s ratio to gold hit 79:1, its steepest in 11 months, underscoring a weakening industrial demand noted by HSBC, which now pegs 2027 silver at $64.
Palladium slipped below $1,000 an ounce, its lowest in 17 months, and platinum fell 4.2% to $1,425.02. Auto‑sector demand remains a headache, with palladium’s price touching a 13‑month low.
Commerzbank analysts warn the sharp tech rout may trigger forced selling and margin calls, but also see a short‑term rebound in metals as safe‑haven flows return. The outlook hinges on whether gold can sustain levels under $4,000 and whether the auto sector recovers.
Looking ahead, the market watches the next earnings cycle of AI‑heavy tech firms and central‑bank policy signals. A move in interest rates could either consolidate the current decline or spark a bounce in the precious‑metal space.