Silver prices drop below $50 per ounce for the first time since November 2025
On October 30, the December silver futures contract on COMEX fell by 5.2% to $49.66 per ounce. The decline is attributed to heightened expectations of a U.S. Federal Reserve rate hike by the end of 2026 amid high inflation and sustained economic growth.
Silver reached its lowest level since November 24, 2025. Investors anticipate that the Federal Reserve may raise interest rates by the end of the year following an acceleration in U.S. inflation: the core Personal Consumption Expenditures (PCE) index rose by 0.5% month-on-month in September, with the annual figure reaching 3.6%. The Fed uses this indicator to assess inflation risks.
At its latest meeting, the regulator kept the interest rate at 3.75–4% and noted sustained economic activity alongside persistently high inflation. Andrei Smirnov, a stock market expert at BCS World of Investments, believes that silver has also lost support from speculative demand. According to Vladimir Chernov, an analyst at Freedom Global, prices are additionally pressured by a decline in industrial demand, including from solar panel manufacturers.
