US EditionWhy Gold and Silver Crashed After Trump Named Fed Chair Pick
Gold dropped 7% and silver 15% as investors reacted to Trump's Fed chair pick, reversing metals’ strong 2025 rally driven by geopolitical tensions and dollar weakness.
- On Friday, gold and silver prices plunged, triggering a global sell-off after President Donald Trump said he would name a Fed successor, with Kevin Warsh the prediction-market favorite.
- Built-Up positioning over the past 12 months left markets, with Toni Meadows noting that gold's run to $5,000 had happened "too easily" and that the unwinding of the greenback supported gold prices.
- On exchanges, futures and mining stocks reflected sharp losses with front-month gold contracts down 5.5%, silver futures falling 11%, Endeavour Silver down 14.7%, First Majestic Silver 14.4%, and Europe's Stoxx 600 Basic Resources index 3.2% lower.
- Market analysts flagged that the sell-off spilled into broader risk assets and crypto, with Bitcoin down nearly 2% and Ethereum about $2,660 down 4%, amplifying market stress.
- Amid concerns about U.S. policy and Fed independence, analysts note President Donald Trump's trade moves could prompt reserve diversification, while Federal Reserve chair speculation drives gold and silver volatility.
14 Articles
14 Articles
This all happened after Donald Trump announced that he would nominate Kevin Warsh to head the US Federal Reserve's Board of Governors.
Bitcoin’s freefall approaches $80,000 as precious metals also tank
The world’s largest cryptocurrency has tanked to its lowest price since April. Bitcoin is down nearly 2% over the past 24 hours and hit a low of nearly $81,000 late Thursday night—underneath its last floor of $82,175 in November. On Friday, the token posted a modest rebound and now trades at around $82,290, according to data from Binance. Bitcoin’s freefall has spread to other cryptocurrencies, including Ethereum, which is down 4% over the past …
At first glance, it looks like Donald Trump has once again snapped into the top of the U.S. Federal Reserve, but Kevin Warsh will turn the Fed upside down.
Investors are reassured about the independence of the US central bank.
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