Shares of iShares Silver Trust slid 3.4% to $50.49 in pre-market trading as overnight selling hammered precious metals, raising pointed questions about whether silver's strong 2026 run has hit a wall. Silver's Sharpest Selloff in Weeks Tests SLV Investors — Is the Metal's 2026 Rally Running Out of Road?
Shares of iShares Silver Trust dropped 3.4% to $50.49 in pre-market trading Thursday as overnight selling swept through precious metals, dragging SLV to its lowest level in over a week. Silver spot fell to around $56.23 per ounce on October 22, down roughly 3% from the previous day.
Over the past month alone, silver's price has fallen 12.75%, though it remains nearly 15% higher than a year ago. For SLV holders, who own shares backed by physical silver bars, every dollar off the spot price hits the portfolio directly.
• Rising Bond Yields Make Silver Harder to Own. The pullback was primarily driven by a resurgence in U.S. Treasury yields and a strengthening dollar, which raised the cost of holding assets that pay no interest.
The 10-year Treasury yield rose to 5.13% on October 21 , and over the past year the rate has climbed from as low as 3.97%. When bonds pay more than 5%, investors have less reason to park money in silver, which generates zero income. That math is punishing SLV.
• Oil-Fueled Inflation Is Keeping the Fed Hawkish. Oil edged higher Wednesday on Middle East supply concerns, with Brent crude rising to $109.64 per barrel as Iran stepped up attacks on tankers transiting the Strait of Hormuz. Expensive oil feeds into consumer prices, which keeps the Federal Reserve leaning toward tighter policy. A Reuters poll found 94 of 100 economists expect the Fed to hold rates at 3.75%–4.00% on October 28, but all 100 forecast another hike in December. More rate hikes mean higher yields — the very force crushing silver today.
• Automated Selling Amplified the Drop. Technical support breaches and sticky inflation triggered automated long liquidations — meaning computer-driven trading programs dumped silver contracts once prices fell past key levels, accelerating the decline beyond what fundamentals alone would justify. That creates risk of further short-term pain if the next support level fails.
• The Bigger Picture: Still Up, but Fragile. Silver set its nominal record of $121.67 on January 29, 2026, then fell more than 30% in roughly a day.
As of October 2026, silver trades in the high $50s, well below its peak but roughly double where it began 2025. SLV holders who bought during the January frenzy are sitting on steep losses; longer-term holders are still well ahead. The question now is whether a looming December rate hike and $100-plus oil prices will keep squeezing precious metals — or whether enough fear eventually drives buyers back to silver as a hedge.