Elevated US Treasury yields near 5.2% and a firmer dollar have driven recent XAGUSD weakness, pushing spot silver to around $60.37 as of early October 2026 after a roughly 9% monthly decline from September levels. Persistent industrial demand softness, particularly solar thrifting that has reduced offtake by about 19% year-over-year, weighs on prices despite the Silver Institute’s projected 46.3 million-ounce market deficit for the year. Hawkish Fed communications following the September rate hike and upcoming October FOMC meeting create uncertainty around the monetary policy path, while softer-than-expected September jobs data offers limited relief. Traders monitor inflation releases and yields for shifts in risk appetite that could influence monthly trading ranges.