Silver prices are falling after September's US consumer price index (CPI) report, released on 14 October, showed a much stronger-than-expected reading for core inflation. The sell-off has pushed silver below short-term technical support around $58.50 and closer to the next major support area near $56.50. A break below that level could open the way for a decline towards $50.
The relative strength index (RSI) is clearly trending lower but has not yet reached oversold territory, suggesting that the decline could extend. Downtrends in both price and momentum indicate that silver remains under pressure and may have further to fall as it unwinds the gains seen towards the end of 2025. Interest rates are now higher, while the US dollar is stronger.
A stronger dollar can weigh on dollar-denominated commodities such as silver by making them more expensive for buyers using other currencies. This can weaken demand and add pressure to prices, although the relationship is not automatic.
Silver daily, July 2025 – present
Source: TradingView, 14 October 2026
Dollar strength is therefore central to silver's current weakness. The US dollar index has broken above 102 and could rise towards resistance around 103.50. A continued advance could put additional near-term pressure on silver, given the metal's historically inverse relationship with the dollar.
