The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
Precious metals experienced a significant sell-off, breaking through critical technical support levels as the geopolitical landscape shifted. Silver prices retreated to settle near $72.50 as persistent inflation risks continued to weigh on market sentiment. Simultaneously, gold tumbled below the $4,500 threshold, driven by bearish momentum following a technical breakdown. This shift occurred as the US-Iran ceasefire prompted traders to refocus on macroeconomic fundamentals rather than safe-haven assets.
The decline coincides with mixed global manufacturing data, with China's Manufacturing PMI reaching 51.8 on June 1, exceeding expectations per market data. Meanwhile, the US ISM Manufacturing PMI printed at 54 (close June 1, 2026), strengthening the dollar and exerting downward pressure on dollar-denominated commodities. Analysts at FXEmpire suggest that the technical selling pressure could lead to further corrections in the absence of immediate bullish catalysts.
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Sign InInvestors should closely monitor current support levels for gold at $4,500 and silver at $72.50 (close June 5, 2026) to gauge the next directional move. Looking ahead, the economic calendar remains a key driver, with upcoming speeches from Fed officials, including Governor Waller, expected to provide clarity on interest rates and inflation. Additionally, South Korean inflation data and Australian building permits will be vital for assessing global liquidity and industrial demand for silver.