Silver has lost more than half its value since setting a record high just nine months ago, with no clear signs of recovery. On Friday, October 30, 2026, silver dropped 2.29% to $50.95, its lowest price since November 2025. This marks a 58% decline from its peak of $121.64, reached on January 29, 2026.
The sell-off accelerated on Thursday, October 29, with spot silver falling about 3.5% to near $52. The iShares Silver Trust (SLV) lost 3.63% to close at $47.28, then slid further to $46.80 after hours. Gold also fell about 1.3% to roughly $4,010, while the VanEck Gold Miners ETF (GDX) dropped 3.12% to $81.33.
The Federal Reserve's potential rate hikes are driving the sell-off. The Fed held rates at 3.75% to 4.00% on October 28, but CME FedWatch prices indicate a roughly 75% chance of a December hike. Silver, which pays no yield, becomes more expensive to hold compared to cash or Treasuries as rate hike expectations rise.
Silver's decline is steeper than gold's due to its dual role as an industrial and monetary metal, as well as its smaller market size and leveraged speculation. JPMorgan expects silver demand from solar panel makers to fall 30% this year, potentially flipping the market from a deficit to oversupply. Oversold readings suggest a rebound could occur if cooler inflation or falling hike odds emerge.