FX.co ★ Silver Holds Strong After Jobs Data

Silver rose more than 4% to around $84.30 per ounce on Wednesday before trimming some gains, as resilient US labor data reshaped expectations for Federal Reserve easing while maintaining a broadly bullish backdrop for precious metals. January nonfarm payrolls increased by 130K, more than double market forecasts and sharply above December’s reading, while the unemployment rate unexpectedly fell to 4.3%. The data highlighted underlying labor market strength despite earlier concerns about softening conditions. This stronger-than-expected report challenged dovish guidance from some Fed officials and led traders to scale back near-term rate-cut bets, bolstering Treasury yields and curbing further upside in silver. Even so, markets still anticipate substantial rate reductions later this year. Combined with previously stagnant retail sales and mixed growth indicators, this has helped sustain demand for silver as a safe-haven asset and as both a monetary and industrial metal, even as volatility remains elevated following recent sharp price swings.