Gold and silver prices have swung sharply in the opening days of 2026, with both metals surging to record or near-record highs in Canadian dollars before reversing abruptly, underscoring one of the most volatile precious-metals markets seen in years.
The turbulence follows silver’s milestone breakout above US$70 per ounce on Dec. 23, a move that initially appeared to confirm a powerful continuation of the precious-metals rally. Instead, the market has shifted into a phase of extreme two-way trading, marked by rapid advances followed by steep pullbacks.
According to Canadian precious-metals trading sites, silver was trading near $105 per ounce in Canadian dollars as of 10:30 a.m. ET on Jan. 8, down more than $4 on the session, while gold was quoted around $6,160 per ounce, also sharply lower from recent levels. The declines followed a series of outsized gains late last month and early this month.
Those pullbacks came after silver surged toward approximately $114 per ounce in Canadian funds during late-December and early-January trading, while gold briefly pushed above $6,200 per ounce. In U.S.-dollar terms, silver climbed into the mid-US$70 range during the same period, while gold approached the US$4,400 level. Currency effects played a significant role, with the weaker Canadian dollar amplifying both rallies and subsequent declines in domestic pricing.
Rather than settling into a narrow trading range after December’s breakout, prices have traced unusually wide bands. In recent sessions alone, silver has fluctuated from the mid-$90 range to well above $110 per ounce in Canadian dollars, while gold has traded above $6,000, briefly exceeding $6,200 before retreating by several hundred dollars.
U.S. analysts say the sharp moves reflect a market caught between strong longer-term fundamentals and short-term uncertainty. Several major banks remain broadly bullish on gold, citing ongoing geopolitical risk, high government debt levels and expectations of eventual U.S. interest-rate cuts, but they also warn that prices could continue to trade in wide ranges rather than move steadily higher. Some forecasts suggest gold could still test higher levels later this year, while cautioning that pullbacks should be expected along the way.
Silver, analysts say, is likely to remain even more volatile. Its dual role as both an industrial and precious metal, combined with uneven global inventories and heavy futures-market trading, has made silver particularly sensitive to shifts in sentiment. U.S. banks have warned that structural imbalances in where silver is stored and traded could continue to fuel sharp price swings in both directions, even if longer-term demand remains strong.
For collectors, bullion buyers and dealers alike, the volatility has had immediate effects. Elevated melt values continue to pressure lower-grade silver coins, while rapid intraday price changes have widened bid-ask spreads. Canadian bullion distributors say the pace of the swings has made it more challenging to stay on top of pricing, particularly during periods of heavy trading and fast-moving markets.
Whether gold and silver resume their upward momentum or continue to trade erratically remains uncertain. What is clear is that the precious-metals market has entered a new phase defined not only by historically high prices, but by pronounced volatility. For Canadian collectors and investors, closely tracking both spot prices and currency movements has become increasingly important as markets adjust to a rapidly changing global environment.
1 Comment
Just imagine the Canadian dollar moving 71 cents to 82 cents and then back again within a matter of days – as opposed to years – and one can start to understand the volatility and huge gaps between bid and ask for silver.