Silver futures surged over 5% on Wednesday. Prices reached approximately $76 per ounce. The iShares Silver Trust (SLV) tracks this price movement.
A two-week ceasefire between the United States and Iran triggered the rally. Crude oil prices plunged over 15% following the announcement.
Lower oil prices eased concerns regarding rampant inflation. The U.S. dollar weakened as investors tempered expectations for Federal Reserve rate hikes.
A weaker dollar makes dollar-denominated silver more attractive to international investors. This currency shift drove up global demand and prices.