Silver holds at £50.88 an ounce, down a fifth this month, as Fed decision looms

Silver is trading at £50.88 a troy ounce today, according to price tracking from GOLD.co.uk, working out to around £1.64 a gram before dealer costs. That sits well above the month's low of £46.20 but far below the £65.50 peak reached earlier in the period, a swing that leaves silver down 21.78 per cent over the past month even after its recent steadying.

Gold, by contrast, is holding closer to its recent range at £3,241.37 an ounce, or roughly £104.22 a gram, down a more modest 6.36 per cent over the same month. Together the two prices put the gold to silver ratio, the number of ounces of silver needed to buy one ounce of gold, at around 64, a level that has held broadly steady through September.

Both metals are trading cautiously ahead of the Federal Reserve's interest rate decision, due this Tuesday and Wednesday, 15 and 16 September. Because silver and gold pay no interest, a rate rise tends to push investors towards cash and bonds instead, while a pause tends to support bullion prices. Silver's sharper monthly losses reflect its greater sensitivity to rate expectations and to softer industrial demand from sectors such as solar.

For UK buyers, £50.88 an ounce is only the spot starting point. Physical silver carries 20% VAT, plus dealer premium and delivery, all added on top. This is market information, not financial advice.