Silver Hits 48-week Low

Silver prices declined below $51 an ounce on Friday, sinking to the lowest since November 2025 as persistent inflation and resilient economic growth in the US reinforced expectations of a potential Federal Reserve rate hike later this year. The US PCE price index increased 0.5% month-on-month in September, marking its biggest rise since March, while annual inflation accelerated to 3.6%. Core PCE inflation also climbed to 3.1% year over year. Meanwhile, US GDP expanded at an annualized rate of 3.4% in the third quarter, exceeding expectations of 3.2%, supported by resilient consumer spending and strong AI-related investment. The Federal Reserve kept interest rates unchanged on Wednesday ahead of next week’s US midterm elections, although markets continue to assign roughly a 75% probability of a rate hike in December, according to the CME FedWatch Tool. Silver is on track to decline about 15% in October, potentially recording its second consecutive monthly loss.

Silver prices fell to $52.5 an ounce on Thursday, marking their lowest level since November 2025, as investors assessed fresh US economic data. The US PCE price index rose 0.5% month over month in September, its largest increase since March, while annual inflation accelerated to 3.6%. Core PCE inflation also climbed to 3.1% year over year. Meanwhile, US GDP expanded at an annualized rate of 3.4% in the third quarter, exceeding expectations of 3.2%, supported by resilient consumer spending and AI-driven investment. The Federal Reserve held interest rates steady on Wednesday ahead of next week’s US midterm elections. However, markets continue to price in an approximately 80% chance of a rate hike in December, according to the CME FedWatch Tool, putting further pressure on non-yielding silver. Elsewhere, oil prices declined following reports that US Vice President JD Vance had sought to revive peace negotiations with Iran.

Silver decreased to 52.58 USD/t.oz, the lowest since November 2025. Over the past 4 weeks, Silver lost 12.89%, and in the last 12 months, it increased 7.47%.