NEW YORK, March 19, 2026, 09:59 EDT
Silver dropped to around $67 an ounce in New York on Thursday morning, deepening its recent slide as a jump in oil prices and renewed inflation fears drove investors away from precious metals. Fortune’s daily price page listed silver at $66.93 at 9 a.m. ET, a tumble of $10.84 from the previous day. Reuters was quoting spot silver at $67.26 just before 8:46 a.m. ET.
Silver’s decline stands out, squeezed from both sides. While the Fed keeps rates locked and inflation creeps higher—conditions that typically weigh on non-yielding metals—a Kitco piece picked up by FXStreet on Wednesday flagged tightening supply. The Silver Institute isn’t budging either: a sixth consecutive year of structural deficit is still in the cards as demand runs ahead of supply.
Selling hit nearly everything on Thursday. According to Reuters, gold slid 5.5%, platinum tumbled 6.8%, and palladium lost 4.1%. Silver’s drop came as part of a bigger wave, not some outlier move. Daniel Ghali, commodity strategist at TD Securities, put it this way: the “debasement trade”—that play on metals as a currency hedge—is losing its footing. Reuters
The Fed kept rates steady on Wednesday, sticking with forecasts for just one cut this year. Still, Chair Jerome Powell acknowledged things are unusually murky, especially with the Iran conflict rippling into energy prices. “The Fed is on the sidelines,” independent metals trader Tai Wong said, and that stance hasn’t boosted bullion. Reuters
Even after a rough day, the underlying supply story hasn’t disappeared. Analyst Przemyslaw Radomski, in the FXStreet edition of Kitco’s commentary, argued that “the dollar creates the dip.” He highlighted U.S. trade scrutiny of Mexico—which turns out about 200 million ounces of silver annually—as well as fresh 2026 output warnings from Mexico-linked producers Fresnillo and First Majestic. FXStreet
The story hasn’t shifted much. Last month, Reuters noted the Silver Institute’s outlook for 2026: demand should hold firm, with physical investment jumping 20% to hit its highest in three years. Supply, on the other hand, is projected to tick up just 1.5%, putting the market on track for its sixth consecutive annual shortfall.
Short-term mood didn’t offer much hope. A Polymarket contract—tracking whether CME gold futures would close higher on March 19—pointed to odds of less than 1% for a gain. Volume on the market stood at about $6,970, thin but still painting a clear picture of how traders felt about precious metals.
Silver investors are staring down a macro squeeze that could drag on longer than any bump from tight supply. With oil prices elevated and the dollar holding strong, Thursday’s selloff in gold, silver, and platinum could intensify. On the other hand, a drop in inflation fears might lure traders back, especially since the Silver Institute still expects a supply deficit—even with output forecast to increase.
