Prices & Review

Overview (January 2026)

Metals markets opened 2026 strongly, with base, battery and precious metals all pushing to new record highs during January. At their peaks, base metals were up an average of 14.3%, led by a 44.1% rise in tin, followed by a 14.4% rise in nickel, and copper up 7.3%. Gold rose as much as 15.5%, while spodumene surged 57.7% driven mainly by heightened investment and speculative interest initially from China and later spreading to other regions. However, this strength reversed sharply toward the end of the month, with a pronounced sell-off across silver, gold and base metals, erasing a significant portion of earlier gains and underscoring the market’s heightened volatility.

From the arrest of Nicolás Maduro in Venezuela, to the Greenland situation, and new threats of tariffs on Europe and Canada, it is easy to see why precious metals rallied through much of January. What was particularly striking was the speed of the rally, with silver, for example, surging 60-70% at its peak in January. President Trump’s unpredictable approach to geopolitics has definitely added significant volatility to metals markets. While metals are increasingly seen as strategic resources by countries seeking greater self-reliance, their vulnerability to speculative swings also became evident at month-end. The nomination of Kevin Warsh as Fed Chair spurred a sharp rally in the U.S. dollar, as markets priced in a more cautious approach to rate cuts. This, in turn, weighed on metals, with gold and silver retreating sharply from their January highs as investors took profits after the strong monthly rally.

Despite the sharp end-of-month correction, the gold price remains elevated, supported by investors, BRIC countries, and central banks diversifying amid uncertainty. Other precious metals have caught up with gold, though speculation—especially in silver—appears to have amplified the moves. Supportive factors include a weaker U.S. dollar, with the Dollar Index retesting last year’s lows, and lower-than-expected U.S. inflation, which raises the prospect of further rate cuts.

At the macro level, global growth remains subdued. PMI data show modest improvements in Japan, Europe, the U.S., and China, but Chinese GDP slowed to 4.5% in Q4, with property weakness weighing on household spending. Given the strong gains in metals, February is likely to see continued volatility and profit-taking, particularly ahead of the Chinese Lunar New Year.