LONDON, March 23, 2026, 08:24 GMT
Spot silver tumbled 8.9% to $61.76 an ounce by 0633 GMT on Monday, a steep drop for the metal. Oil, meanwhile, stayed north of $110 a barrel, the dollar strengthened, and investors pulled back from precious metals, recalibrating for expectations of higher interest rates.
Silver was riding high earlier this year, one of the top-performing—and most turbulent—assets before its recent tumble. After Monday’s decline, prices are now sitting at around half of the Jan. 29 peak of $121.64, hovering near that $60-$70 territory analysts highlighted back in February as a level with stronger fundamentals, post-January squeeze.
Macro forces are squeezing markets. Iran’s warnings about targeting Gulf energy and water infrastructure—and possible closure of the Strait of Hormuz—held Brent crude steady at $112.89 a barrel. U.S. 10-year Treasury yields moved up, touching an eight-month high at 4.415%. Rate futures, which traders use to position for Fed moves, swung toward pricing in a hike by the end of 2026 rather than the cut many expected.
“Expectations have pivoted from rate cuts to potential rate hikes,” said Tim Waterer, chief market analyst at KCM Trade. Gold and silver, with no yield to offer, lost ground as higher yields took the shine off. Gold slid 5.8% to $4,226.16 an ounce, marking its ninth consecutive drop. Sellers also hit platinum, down 9%, and palladium, which shed 5.2%. Reuters
There’s more to silver than just its price chart. The metal’s role spans jewellery, electronics, EVs and solar tech, and, just last month, the Silver Institute projected a sixth consecutive year of structural deficit—industry parlance for demand outstripping supply. That’s despite softer industrial usage, with retail investment gaining traction.
Gold slid as well, failing to provide its usual haven as equities dropped. “The fact that gold is dropping with stocks suggests it is a move to cash from other markets,” said Matt Simpson, senior market analyst at StoneX. Silver, typically even more volatile than gold and a thinner market, saw sharper losses. Reuters
This sheds some light on why the typical safe-haven playbook didn’t kick in. Investors tend to buy gold and silver to guard against inflation, but when oil shocks push up both bond yields and the dollar, metals can get dumped as traders look to free up cash.
The slide might not be done yet. Back in early February, analysts pointed to a $60-$70 range as a level where silver’s fundamentals made sense after January’s pullback. On Monday, prices are approaching that band. If oil spikes again or rate expectations shift, that support could get challenged.
Right now, it’s crude prices, the dollar, and the Fed that are drawing traders’ focus—not silver’s persistent supply concerns. The deficit hasn’t gone away, but on Monday, it was mostly ignored.
