Key Points
-
The price of silver has been rising modestly since the midterm elections.
-
The precious metal crashed in January after the president announced his pick for the new Fed chair.
-
Another rate hike could happen next month, which may renew animosity between the Fed and the president and prompt investors to turn to safe-haven assets again.
-
The price of silver has been rising modestly since last week’s midterm election results, firmly above $50. The precious metal, however, remains well down from the highs of more than $120 that it reached early on in the year.
With growing economic and political uncertainty, along with the markets looking a bit shaky of late, could now be a good time to invest in a silver-tracking fund such as the iShares Silver Trust (NYSEMKT:SLV)?
Missed AI’s “Act 1”? Act 2 Could Be 15x Bigger. Most investors think they missed the AI boat because they didn’t buy Nvidia in 2005. But according to our analysts, we’re only at the end of “Act 1″—the R&D phase. “Act 2” is the global rollout. Continue »
Image source: Getty Images.
Why silver might continue rising toward the end of 2026
Silver has been rising modestly of late, but it hasn’t been taking off by any means. However, there’s one day that I would circle on my calendar if I were tracking silver: Dec. 9. That’s when the Federal Open Market Committee (FOMC) is set to make its next decision on interest rates. It could have a significant impact on silver.
What appeared to trigger silver’s decline in value earlier this year was news that Kevin Warsh was chosen as the new Fed chair in late January. It seemed to calm the markets right away. At the time, the president was unhappy with Fed chair Jerome Powell, and that uncertainty may have been a key reason for investors to hold more silver, as a way to diversify and reduce risk and exposure to the broader market.
However, with rates not coming down as the president has wanted, there is potential for renewed conflict ahead, especially if Warsh raises rates yet again. Valuations are already high in the stock market, and adding another rate hike and greater political uncertainty into the mix may give investors even more reasons to diversify outside of stocks. And with silver proving popular among retail investors earlier in the year, it may be in high demand once again.
The iShares Silver Trust could be worth buying right now
Amid the drop in silver, the iShares Silver Trust has fallen by 25% this year, and is now down close to 60% from its high. It’s a sharp decline for an investment that could offer investors a good way to diversify outside of the broader markets.
While there can be some volatility with this type of holding since its value will ultimately depend on what’s happening with silver, for investors who are comfortable with the risk, investing in the fund may be a good way to hedge against political and economic uncertainty right now. And as silver has shown in the past year, when it rallies, it can take off quickly. That’s by no means a guarantee to happen in the near future, but it wouldn’t be surprising if it were to rise higher before the end of the year, especially if the Fed hikes rates again.
Should you buy stock in iShares Silver Trust right now?
Before you buy stock in iShares Silver Trust, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and iShares Silver Trust wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $344,878!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,097,846!*
Now, it’s worth noting Stock Advisor’s total average return is 852% — a market-crushing outperformance compared to 208% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of November 10, 2026.
David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
