Silver Surges Past $61 After Weak June Jobs Report Crushes Fed Rate Hike Bets

Average hourly earnings rose 13 cents, or 0.3%, to $37.64.

May's initially reported 172,000 gain was revised down to 129,000, a significant downward adjustment that compounded the disappointing June headline.

Analysts at TD Economics noted that revisions to the two prior months were 74,000 lower than previously reported.

Silver Surges Past $61

The weak payrolls data, released on Thursday, July 2, 2026, sent silver prices sharply higher:

• Spot silver rose 3.85% to $61.45 per troy ounce.
• The move extended a reversal that had begun on July 1, following a soft ADP employment print and dovish Federal Reserve commentary.
• Silver futures on the New York exchange climbed to $60.97 and peaked intraday above $61.06.
• Trading Economics data showed silver rising to $62.30 on July 3, up another 2.24%, heading for a nearly 6% weekly gain.
• Silver's gain outpaced gold's by a ratio of more than 1.5-to-1.

The Shift in Fed Rate Hike Expectations

The June jobs report triggered a sharp repricing of interest-rate expectations:

Before the report: Stronger-than-expected jobs data in prior months had boosted expectations that the Federal Reserve would raise interest rates rather than cut them, with September rate-hike odds standing at around 65-66%.

After the report: Traders rapidly unwound rate-hike bets. Reuters reported that Fed policymakers had less reason to deliver a July rate hike after the weak payrolls data.

The CME FedWatch Tool showed the probability of a September rate increase falling to roughly 50-53.5%, down from 66% before the data.

Gold was headed for its first weekly gain in five weeks as investors dialed back rate-hike expectations, according to Reuters.

What Analysts Said

"The slowdown in payroll growth challenges the hawks' narrative that the economy is overheating and that the Fed needs to act quickly," one analyst told U.S. News & World Report.

Analysts at CNBC noted that the Federal Reserve is unlikely to raise interest rates in the near term after the weaker-than-expected data, adding that lower oil prices and easing Middle East tensions helped keep inflation concerns in check.

However, some analysts cautioned that the cooler report was still likely to keep Fed officials focused on inflation, preserving the case for potential rate hikes later this year.

In Short

The weak June jobs report — payrolls rising only 57,000 with unemployment at 4.2% — helped drive silver past $61 as traders backed away from near-term Fed rate-hike expectations. Silver's outperformance of gold by more than 1.5-to-1 indicates that the rally was driven by a combination of monetary-policy repricing and supply-tightness concerns, not just a general flight to safe havens.