Silver Price Singapore: Why Silver Is Falling Faster Than Gold

By Fazil Thaha, Faz Gold

Silver has been falling faster than gold this week because the same forces hurting gold, a stronger US dollar and the highest US bond yields since 2007, hit silver harder because it is also an industrial metal. If you are watching the silver price in Singapore and wondering why it dropped more than gold, the short answer is that silver is behaving the way it usually does when interest rates rise: it swings harder in both directions.

What happened to gold and silver this week

Silver touched a high of USD 67.32 per troy ounce on Tuesday, 22 September, its highest level since 9 September, according to Yahoo Finance. Two sessions later it was well below that. Kitco News reported silver at USD 65.00 per troy ounce on the morning of Wednesday, 23 September, down 2.88% on the day, and at about USD 63.67 per troy ounce in late New York trade on Thursday, 24 September, down another 1.02%. That is a fall of roughly 5% from Tuesday's high in about two days.

Gold also fell, but by much less. Kitco News put spot gold at about USD 4,274.70 per troy ounce in late New York trade on 24 September, down 0.26% on the day, after gold slipped below USD 4,300 during the session. Yahoo Finance noted that gold was about 7.5% lower than a month earlier but still around 13.9% higher than a year ago.

The gold/silver ratio has widened

Because silver fell faster, the gold/silver ratio (how many ounces of silver one ounce of gold buys) moved higher. USAGOLD reported the ratio at 67.5 in early New York trade on 24 September, up from 66.2 at the previous close, and FXStreet data showed it at 66.83 earlier that morning. Using Kitco's late prices on 24 September, the ratio works out to about 67.

Why is silver falling faster than gold?

1. US bond yields at their highest since 2007

The biggest driver this week has been interest rates. The US 10-year Treasury yield rose to about 5.13% on 23 September, its highest level since 2007, according to Vantage Markets, and was near 5.1% on 24 September, according to Kitco News. The Seoul Economic Daily reported an intraday high of 5.15%. Gold and silver pay no interest, so when a safe US government bond pays over 5% a year, holding metal becomes more expensive in comparison.

2. The Fed may not be finished

The US Federal Reserve raised rates on 16 September, its first hike since 2023, which we covered in our last market update. This week the market started to price in more. Kitco News reported that traders saw roughly a 66% to 70% chance of another hike in October, after weekly US jobless claims came in at 197,000, below forecasts, and a flash survey showed the strongest private-sector growth in more than five years. New York Fed President John Williams said one more increase this year was a reasonable thing to think, depending on the data, according to the Seoul Economic Daily. Fed Governor Michael Barr also signalled that more increases may be needed.

3. A stronger US dollar

Kitco News reported the US dollar index near 101 on 24 September, a two-month high. Gold and silver are priced in US dollars, so a firmer dollar tends to weigh on both.

4. Silver carries an extra industrial discount

This is the part that explains the gap. Gold is mainly a monetary and investment metal. Silver is both a precious metal and an industrial raw material used in solar panels, electronics and AI hardware. When higher rates raise worries about growth and manufacturing, silver takes the interest-rate hit that gold takes, plus a discount for weaker industrial demand. USAGOLD described this as silver absorbing a double hit. Silver's market is also much smaller than gold's, so the same wave of selling moves its price further.

5. Oil and inflation worries

Brent crude was around USD 105 per barrel on 24 September, according to Kitco News, as talks over the Strait of Hormuz made little visible progress. High oil keeps inflation concerns alive, which in turn keeps pressure on the Fed to hold rates high. In this environment, that has worked against gold rather than for it.

Why it matters

Silver's bigger swings are nothing new. Yahoo Finance noted that silver reached about USD 113 per troy ounce in early January 2026 before falling to around USD 77 by February, a drop of about 32% in a few weeks. FXStreet data showed silver down about 10% since the start of the year as of 24 September, while Yahoo Finance reported it was still around 52% higher than a year earlier as of 22 September. That is the nature of silver: bigger rewards and bigger drawdowns than gold.

At the same time, the physical market has been steadier than the screen price. USAGOLD reported that coin and bar premiums remained firm and that retail demand picked up at lower prices, and central bank buying continues to support gold in the background.

What this means for Singapore buyers

For anyone in Singapore buying, holding or selling, here is how I would think about this week.

  • Check the live local price, not the headline. All the prices in this article are in US dollars per troy ounce. Our Singapore dollar buy and sell prices move with the US dollar price and the exchange rate through the day, so please check the live SGD prices on fazgold.com.sg or at our counter before you decide.
  • Expect silver to move more than gold. If a 5% move in two days would worry you, size your silver holding with that in mind. Many of our customers hold both metals for this reason.
  • Buying on dips is a personal decision. Some customers see lower prices as a chance to add to silver bars or silver coins. Others prefer the steadier profile of gold bars. Nobody knows where prices will go next, so buy only what you are comfortable holding through swings like this one. Our guide on where to buy silver bars in Singapore covers what to look for.
  • Selling? If you plan to sell, compare our buyback rates on the day, and see our guides on selling gold in Singapore and where to sell silver in Singapore.

What to watch next

The key things to watch are US inflation and jobs data ahead of the Fed's next decision on 28 October, the direction of the 10-year Treasury yield and the US dollar, and any progress on the Strait of Hormuz talks, which could move oil prices. If yields stay above 5%, both metals may stay under pressure, and silver is likely to keep moving more than gold in either direction.

FAZ Gold

If you would like to talk through buying or selling gold or silver, visit our counter at 10 Jalan Besar, #B1-19/20, Sim Lim Tower, Singapore 208787, open daily 10.30am to 8pm, or call +65 6209 1448.

Sources

This article is for general information and market commentary only and is not financial or investment advice.

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