Silver prices fell 6% on Friday – the biggest one-day drop in six months – after hitting a record high of $54 an ounce earlier this week.
In New York, spot silver fell to $51.88, while gold fell 1.9%. The sharp recovery came as U.S. credit fears eased and safe-haven demand eased as trade tensions eased.
Silver price drop 6%
After a rally to over $54 per ounce, silver prices saw a sharp correction around October 17, 2025, with a 6% decline, to around $51.50 per ounce in global markets. A further decline of around 7.5% occurred on October 21, bringing the price down to $47.12. This volatility followed a period of over-buying and was influenced by factors such as profit-taking by investors, a strong US dollar, and easing global tensions.
Details on gold price fluctuations :
Peak and initial correction: In early October 2025, silver prices in global markets reached multi-year highs of over $54 per ounce. On October 17, prices suddenly declined, and silver prices fell by about 6% to $51.50 per ounce.
Further declines: The price continued to fall, and on October 21, it had its biggest one-day decline in recent years, falling nearly 7.5% to a low of around $47.12 an ounce.
Today’s Price: As of October 22, 2025, the silver futures price on Comex is trading at $48.265, after opening at $48.13 and reaching a daily high of $48.65.
Factors Influencing the Price Drop
Profit-booking: After a significant rally in early October, investors began to book profits, leading to a sharp sell-off.
Overbought conditions: Technical indicators suggest that silver is overbought, signaling a potential decline in prices.
Strong US dollar: A strong US dollar has made dollar-denominated commodities like silver more expensive for investors holding other currencies, reducing demand.
Geopolitical and economic factors: Optimism over trade talks between the US and China, as well as a more cautious Federal Reserve, have dampened demand for precious metals as a safe haven asset.
London market tensions: Reports of a “broken” London market, where banks are struggling to stay afloat
Outlook
While the current decline represents a correction, many analysts remain optimistic about the long-term future of silver. Ongoing macroeconomic uncertainty, central bank buying, and strong investor demand could continue to support the precious metal.
Demand for silver remains strong in industrial applications, particularly in green energy and electronics, and is a key driver of future price performance.
