Silver futures fell in American trade to January 2016 lows as the dollar index gained modest ground, following earlier data from the US, while markets price in growing trade tensions between China, the world's largest metals consumer, and America.

As of 04:34 GMT, silver futures due in December shed 0.32% to $14.13 an ounce, marking early 2016 lows, while the dollar index inched up 0.07% to 95.22 against a basket of major currencies.

Earlier US data showed wholesale inventories rose 0.6%, compared to a 0.1% increase in June, while an index tracking job opportunities rose to 6.94 million from 6.82 million in June.

China said it'll ask the World Trade Organization for permission to sanction the US for violation of a ruling about dumping duties, while the New York Times reported that US administration is studying economic sanctions on Beijing for human rights violations.

Increasing trade protectionism around the world continues to weigh on metal prices, with US President Donald Trump threatening to impose additional tariffs on $267 billion worth of Chinese imports in addition to other planned tariffs on $200 billion.