Silver eases to £50.26 an ounce as Fed rate bets test the gold-silver ratio

Silver is trading at £50.26 a troy ounce today, according to price tracking from BullionByPost, with recent trading ranging roughly between £47 and £51. The move comes as the gold to silver ratio, which measures how many ounces of silver it takes to buy one ounce of gold, sits near 66. That is down from a peak above 70 in early August but up from about 62 three months ago, according to analysis from GoldSilver.com, showing how sharply silver's value relative to gold has swung through 2026.

The recent softness largely reflects interest rate expectations rather than industrial demand. Hawkish comments from senior Federal Reserve officials, including chair Kevin Warsh, have kept alive the prospect of a US rate rise this month. Because silver pays no interest, higher rates make it comparatively less attractive next to cash and bonds, prompting some financial buyers to trim positions.

The longer-term picture looks tighter. The Silver Institute's World Silver Survey points to a sixth consecutive annual supply shortfall, forecast at 46.3 million ounces for 2026, since roughly 70% of mined silver is produced as a byproduct of copper, lead and zinc mining and cannot ramp up quickly when prices rise.

At £50.26 an ounce, that works out to around £1.62 a gram before costs. UK buyers should remember the all-in price includes dealer premium, VAT considerations for physical silver, and delivery, all on top of the headline spot figure. This is market information, not investment advice.