Silver prices climbed approximately 3.9% to near $78.50 per ounce on Monday.
Investor optimism regarding a potential U.S.-Iran peace agreement fueled the rally. This diplomatic development could lead to the reopening of the Strait of Hormuz.
Easing geopolitical tensions pushed crude oil prices to two-week lows. A weaker U.S. dollar further increased the appeal of non-yielding assets like silver and gold.
Reduced geopolitical risk shifted market focus toward macroeconomic factors. Investors are now showing increased sensitivity to currency fluctuations and interest rate expectations.