Silver prices rose in European trade on Monday after a two-day hiatus from gains, thus approaching three-month highs once more on strong haven demand amid concerns about global trade after new tariffs by US President Donald Trump.

The white metal is bolstered by retail demand, as its price remains far from its true value compared to gold, which recently hit a record high at $2900.

The Price

Silver prices rose 1.7% today to $32.34 an ounce, with a session-high at $31.70.

On Friday, prices lost 1.3% away from a three-month high at $32.66.

Silver rose 1.6% last week, marking the third weekly profit in a row on strong haven demand. 

Trump's Tariffs

President Donald Trump announced a new batch of 25% tariffs on steel and aluminium imports, rattling the global markets.

He recently suspended a 25% tariff on Canadian and Mexican imports last week pending negotiations, but went ahead with implementing a 10% additional tariff on Chinese imports, triggering vows of retaliation.

Retail Demand 

As retailers seek assets to safeguard against risks due to changing monetary policies by global central banks towards quantitative easing, it looks like silver is becoming a favorite. 

The white metal is far from its record highs, which gives it a lot of room to grow and rise, especially as gold prices hit record highs recently at $2906 on February 10.

For comparison, the last record high scaled by silver is far away at $49.78 an ounce in April 2011.

Gold prices rallied above $2900 an ounce on haven demand as the risk appetite plummeted and haven demand surged following President Donald Trump's new tariffs, which rattled the global markets.

Now traders await a testimony by Fed Chair Jerome Powell in addition to more data this week to gather clues about the path ahead for Fed's monetary policies.

Prices 

Gold prices rose over 1.4% today to $2901 an ounce, a record high, with a session low at $2856.

Gold eked out a 0.2% profit on Friday as it regained its momentum and approached record highs once more.

It rose 2.2% last week, the sixth weekly profit in a row, and the longest such streak of gains since January 2022.

Trump's Tariffs

President Donald Trump announced a new batch of 25% tariffs on steel and aluminium imports, rattling the global markets.

He recently suspended a 25% tariff on Canadian and Mexican imports last week pending negotiations, but went ahead with implementing a 10% additional tariff on Chinese imports, triggering vows of retaliation.

US Rates

The recent payrolls report showed the US economy added less jobs than expected, with unemployment falling slightly in December.

Following the data, the odds of a 0.25% Fed rate cut in March plummeted to just 6.5%.

SPDR 

Gold holdings at the SPDR Trust Fund rose 4.31 tons today to 868.50 tons, the highest since January 22.

Euro lost ground today against the dollar on track for the third daily loss in a row after President Donald Trump's tariff threats against the EU.

As the odds of an ECB interest rate cut in March fell, now investors await remarks by ECB President Christine Lagarde later today to gather more clues.

The Price

The EUR/USD pair fell 0.4% today to 1.0282, with a session high at 1.0325.

The pair lost 0.55% on Friday as US treasury yields rebounded following upbeat labor data.

The pair lost 0.3% last week, the second weekly loss in a row as the eurozone economy faced risks, especially from potential US tariffs.

Trump's Tariffs

Trump attacked the EU once more and threatened tariffs, stating that the EU is using America with regards to its 300 hundred billion dollars of trade surplus with the US.

He also threatened a 25% tax on steel and aluminuium imports, rattling the markets further and souring the risk appetite.

Trump ignited the fires of trade wars last week when he imposed 25% tariffs on both Canada and Mexico and a 10% tax on Chinese imports. He then put off the Canadian and Mexican tariffs for a month pending negotiations.

European Rates

Recent consumer prices data for the euro zone showed increasing inflationary pressures on the ECB.

Following the data, the odds of an ECB interest rate cut in March slid from 80% to just 65%.

Now traders await a batch of euro zone data latee this week, in addition to a speech by ECB President Lagarde to gather more clues.

Yen backed away from two month highs against the dollar today on profit taking, while the dollar is boosted by US president Trump's repeated tariff threats.

Recent strong Japanese data and bullish remarks from Bank of Japan officials underpinned the odds of another BoJ rate hike in March.

Now traders await Fed Chair Jerome Powell's testimony ahead of Congress this week in addition to important US inflation data to gauge the likelihood of a Fed rate cut in March.

The Price 

The USD/JPY pair rose 0.55% today to 152.21, with a session low at 151.17.

Yen was little changed against the dollar on Friday after hitting a two month high earlier in the session at 150.93.

Yen rose 2.4% last week against the greenback, marking the fourth weekly profit in a row, and the largest in 2025.

Trump's Tariffs

President Donald Trump said he'll impose 25% tariffs on all steel and aluminium imports, in addition to tariffs on any country that imposes tariffs on American exports.

It comes as global trade concerns mount with China preparing retaliatory tariffs on US products in response to Trump's tariffs.

Japanese Rates

Recent Japanese household spending and wages data showcased the inflationary pressures in the economy and boosted the case for a Japanese rate hike in March.

BoJ member Naoki Tamura said the bank should raise interest rates to 1% at least by the second half of 2025.

Following the remarks and data, the odds of a Japanese rate hike in March rallied to 75%, with investors now expecting 50 basis points of BoJ rate hikes in 2025 overall.

US rates

The latest US payrolls report showed the US economy added less jobs than expected in December while unemployment dipped.

Following the data, the odds of a Fed rate cut in March fell to just 6.5%.