NEW YORK, August 24, 2026, 16:28 EDT
- Spot silver was down 0.4% at $68.69 as of 14:25 EDT on Monday.
- The metal is still up approximately 18% for the month and 77% compared to a year ago.
- Rising investment demand and declining industrial usage are increasing silver’s two-sided risk.
- The next hurdles are U.S. inflation figures and the Federal Reserve chair’s speech on Friday.
Silver retreated on Monday following a three-day climb, while gold continued to rise. Spot silver was last trading at $68.69 an ounce at 14:25 EDT, down 0.4%. The divergence indicates investors are assessing if silver’s gains have outpaced its support from monetary factors.
The difference is important. Silver is up around 18% over the past month and nearly 77% over the past year. However, the newest industry outlook indicates softer factory use in 2026. More of the support is coming from investment purchases.
Google Trends showed heightened interest in “silver” searches on Monday. September futures surpassed $69 at the open, a level last seen on June 16. Prior to Monday’s decline, prices had climbed 18.2% over the past month. Google Trends; Yahoo Finance
| Silver measure | Reading | Timestamp |
|---|---|---|
| Spot silver | $68.69/oz, -0.4% | Aug. 24, 14:25 EDT |
| COMEX front month | $68.541/oz, -1.33% | Aug. 24 settlement, New York |
| One-month move | Up roughly 18% | Aug. 24, 08:40 EDT |
| Year-over-year move | Up around 77% | Aug. 24 settlement |
| Gold/silver ratio | 67.46 | Aug. 24 morning |
Gold went in the opposite direction, rising 0.8% to $4,639.49 by 14:25 EDT. Bullion was boosted by a weaker dollar and the U.S. Treasury’s buyback plan ahead of inflation numbers due Wednesday. Jim Wyckoff at American Gold Exchange said both fundamentals and technicals were “lining up bullish” for gold. According to him, that lift can transfer to silver, though not as directly. Reuters
The supply outlook continues to be constrained. Metals Focus projects a deficit of 46.3 million ounces for this year, signaling a sixth consecutive shortfall. However, overall demand is expected to decrease by 2%.
| Global silver balance | 2025 | 2026 forecast | Change |
|---|---|---|---|
| Total supply | 1,090.4 Moz | 1,066.4 Moz | -2.2% |
| Industrial demand | 657.4 Moz | 639.6 Moz | -2.7% |
| Coin and bar demand | 217.7 Moz | 257.6 Moz | +18.3% |
| Total demand | 1,130.6 Moz | 1,112.6 Moz | -1.6% |
| Market balance | -40.3 Moz | -46.3 Moz | Deficit increases 14.9% |
The composition is the message. Demand for coins and bars is seen increasing by 18%. Industrial fabrication is projected to decline 3%, reaching the lowest level in four years. Forecasts indicate lower demand from electronics. Elevated prices are restricting use in jewellery and silverware.
This increases silver’s reliance on portfolio flows and adds to its volatility. Roughly 762 million ounces have left inventories since 2021. Philip Newman, managing director at Metals Focus, stated that risks of further liquidity squeezes “remain.”
Investors may choose to hold physical bullion or invest via the iShares Silver Trust NYSEARCA:SLV. Shares in mining firms introduce both operational and equity-market risk. Neither method mirrors spot silver exactly, particularly in volatile markets or periods of tight liquidity.
New catalysts are approaching rapidly. The U.S. personal consumption expenditures report will be published on Wednesday. On Friday, Federal Reserve Chair Kevin Warsh is scheduled to speak in Jackson Hole. A weaker dollar or declining real yields might push the rally further. In contrast, hotter inflation and climbing yields could halt any gains.
Risks: Silver may decline more rapidly than gold if growth expectations diminish. Reduced industrial demand, increased recycling, and investor outflows could counter the projected deficit. Limited liquidity can intensify price swings in both directions.
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