The Worst Day for Silver in 46 Years Serves as a Warning for the Stock Market's 2 Hottest Trends: AI and Quantum Computing
Yahoo Finance·2026-02-03 09:11

Core Insights - The stock market has experienced significant growth over the last three years, with major indexes reaching record highs driven by innovations such as AI and quantum computing, as well as a surge in precious metals like silver and gold [1][5] Group 1: Silver Market Dynamics - Silver has shown remarkable returns, with futures approaching a nearly 300% increase over the past year before a significant drop [5] - The demand for silver is expected to rise due to its critical role in solar panels and electric vehicle batteries, driven by the growth of renewable energy [6] - The increase in U.S. money supply during and after the COVID-19 pandemic has positioned gold and silver as stores of value, contrasting with the infinite supply of U.S. dollars [7] Group 2: Market Sentiment and Volatility - The fear of missing out (FOMO) has significantly influenced silver prices, leading to a rapid increase from around $50 to nearly $122 per ounce [8] - On January 30, silver futures experienced a dramatic decline of 31% in a single day, marking the worst performance since March 1980, attributed to the bursting of the FOMO bubble rather than external manipulation [9]