Silver falls below $54 as UBS forecasts prices rising through 2027

Silver prices fell below $54 an ounce on Friday as precious metals came under pressure.

Higher-than-expected US inflation and rising oil prices have added to concerns that interest rates will stay high for longer.

Markets are pricing in a 10% chance of a US rate increase next week, according to the CME FedWatch tool.

Investors are waiting for US PCE inflation data due on October 29 for clues about progress towards the Federal Reserve’s 2% inflation target.

UBS strategist Giovanni Staunovo said the medium-term outlook for silver remains positive despite the recent selling pressure.

UBS forecasts silver at $70 in December 2026, $75 by mid-2027 and $80 by September 2027.

The forecast points to a possible recovery, while prices remain sensitive to inflation and interest-rate expectations.