**BREAKING: Silver Plunges to Three-Week Low as US-Iran Tensions Escalate**
Silver prices crashed to $72.30 per ounce during early European trading Thursday, marking the lowest level since May 6. The precious metal is experiencing significant selling pressure following reports of US military strikes in Iran, triggering renewed geopolitical tensions in the Middle East.
The XAG/USD pair is tumbling as traders react to escalating conflict, with technical indicators showing bearish signals adding to downward momentum. The breakdown below the $72.50 support level suggests further weakness may be ahead as market participants assess the full impact of military action.
Traders, brokers, and precious metals desks should monitor developing Middle East news closely as volatility is expected to remain elevated. The selling in silver comes despite typical safe-haven demand during geopolitical crises, indicating broader risk-off sentiment may be driving flows into alternative assets like gold or the US dollar.
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FXnCO Insight
** Watch for potential bounces at the $72.00 psychological level, but maintain tight stops as bearish technicals and geopolitical uncertainty could drive silver toward $70.00 if tensions escalate further.
Source: FXStreet