Silver rises to £43.40 an ounce as Trump threatens Iran attack over Red Sea strikes

Silver climbed 1.98% to $58.40 per troy ounce on Friday as Middle East tensions escalated sharply, lifting oil prices and stoking inflation concerns. At an approximate exchange rate of 1.35, that translates to roughly £43.40 per ounce, or £1.40 per gram.

The trigger was a fresh round of attacks in the Red Sea. Yemen's Houthi militia struck at least two Saudi oil tankers early Friday, using missiles and drones to target the Encelia and Laila vessels. The US responded with its 13th consecutive night of strikes against Iranian positions. President Trump then escalated the rhetoric, warning Iran it would face major military punishment if attacks continued, and hinting at an unprecedented large-scale military operation.

Oil prices responded sharply, with Brent crude climbing past £100 per barrel and WTI jumping above £91. Higher energy costs feed directly into inflation expectations, which in turn pushes markets to assign a higher probability to Federal Reserve rate rises. Because precious metals pay no income, they become less attractive when rates climb.

Silver's 2% gain on the day reflects traders balancing two forces: safe haven demand from geopolitical risk, against headwinds from inflation and rate expectations. The gold to silver ratio narrowed slightly, suggesting investors see relative value in silver despite the pressures.

For UK buyers, the all-in cost matters most: spot price plus dealer premium, delivery charges, and VAT on silver. This is general information, not financial advice.