New medium-term forecasts for silver prices from UBS

While silver prices dropped below $54 per ounce amid general pressure in the precious metals market and expectations that U.S. interest rates will remain high, UBS strategist Giovanni Staunovo shared new price forecasts for the medium term.

Along with all precious metals, silver prices lost value, dropping below $54 per ounce on Friday. Expectations that U.S. interest rates will remain high for a prolonged period and rising oil prices influenced this decline in prices. Brent crude reached a four-year high after Houthi attacks in Saudi Arabia raised concerns over energy supply disruptions. While high U.S. consumer and producer inflation data support tight monetary policy, according to the CME FedWatch Tool, markets are pricing in a 10 percent probability of a rate hike next week; this rate was at 80 percent for December. Investors are also awaiting the U.S. PCE inflation data to be released on October 29 for clues regarding the Fed's 2 percent target.

UBS strategist Giovanni Staunovo stated that despite silver coming under renewed selling pressure, the medium-term outlook remains constructive. According to UBS forecasts, silver prices are expected to reach $70.00 in December 2026, $75.00 in mid-2027, and $80.00 in September 2027.