Silver dropped more than 1% to $57 per ounce on Tuesday, as investors took profits following a record high. The retreat followed a six-session rally that has driven silver prices up over 100% in 2025, having doubled from last year’s 52-week low near $28.30. Still, bullish pressure remains intact amid tight physical supply, strong industrial demand, and expectations of a US interest rate cut. Markets are now pricing in an 88% chance of a 25bps rate cut at the Fed’s upcoming meeting, supported by softer US economic readings and dovish signals from several Fed officials. Monday’s data revealed that US manufacturing contracted for a ninth straight month in November, adding to the pressure on the Fed to loosen policy. Investors are now awaiting Fed Chair Jerome Powell’s remarks later today for guidance on future interest rates. Later this week, traders will also monitor the November ADP jobs report and delayed September PCE data.