Silver prices (XAG/USD) have dropped more than 1% as market sentiment leans towards risk-on dynamics, coupled with a recovery in the US Dollar. Recent easing of tariff tensions with Europe, particularly Trump’s de-escalation measures, has bolstered market enthusiasm, reducing demand for safe-haven assets like precious metals. As traders reassess their positions, understanding the broader market sentiment will be key to navigating potential shifts in the XAG/USD pair.