On January 30, US time, President Donald Trump replaced Jerome Powell.Kevin Warshwas nominated as chairman of the US Federal Reserve Board (FRB). Gold and silver prices have fallen sharply from recent all-time highs as concerns about central bank independence eased.

On the afternoon of January 30th, spot silver prices were down 33% to just over $77, while gold prices were down 12% to around $4,722. Meanwhile, silver futures prices also plummeted by 32%, and gold futures prices also plummeted by 11%.

Gold prices hit an all-time high of $5,595.46 on January 29, US time, and silver prices continued to hit an all-time high of $121.67 early the previous day.

Evercore ISI analyst Krishna Guha wrote in a Jan. 30 report that Trump’s selection of Warsh could help “stabilize the dollar to some extent” and ease the “severe dollar weakness trend” that would lead to lower gold and silver prices.

The Select Index, which compares investments against major currencies such as the euro, rose 0.6% on January 30, its biggest one-day gain since November after hitting a four-year low earlier this week.

In 2025, silver prices rose by 150%. Gold prices are up 65%. And despite the January 30th plunge, gold prices are still up more than 10% year-to-date, while silver is up 14%.

Deutsche Bank analysts said on January 27, US time, that the price of gold could exceed $6,000 as the dollar continues to weaken.X (old Twitter)“Silver is almost certain to fall by about 50% within a year.”

Precious metals have soared over the past year. Tensions with Iran, Venezuelan President Nicolás Maduro’s U.S. risk restrictions and President Trump’s push to combine greenland have helped fuel gold and silver’s record rally.

Forecasts were upended earlier this week after President Trump said a “massive battle” was headed toward Iran and called for a “fair and just settlement, an abolition, if you will.” Meanwhile, perceptions of the Fed’s political independence are also fueling this rise. The rise in the price of gold, seen as a safe investment during times of geopolitical turmoil, tends to coincide with a decline in the value of caution and long-term views, and has fallen significantly in recent months.

(forbes.com translation)