Silver Squeeze Sends Prices Soaring Past $51

Daily News Nuggets | Today’s top stories for gold and silver investors
October 10th, 2025 

Silver Squeeze Sends Prices Near Record Highs 

Silver surged past $51/oz this week — briefly topping its all-time high — before retreating as traders locked in profits. The rally came amid a historic squeeze in London’s physical market, where borrowing costs for silver spiked above 39% annualized, signaling severe scarcity. 

Silver has now soared more than 70% this year, outpacing gold as investors seek both safety and leverage. Tight supplies, tariff-driven shipment shifts from London to New York, and fears over fiscal instability have all fueled the move. The squeeze flipped the usual relationship between London and New York markets, with U.S. futures trading at a rare discount to spot prices.  

When physical markets seize up like this, it exposes just how thin precious metals liquidity can be — and why owning the metal outright matters more than paper proxies. 

Want to see where this could go next? Watch Mike’s new breakdown, Silver Squeeze 2025: The 45-Year Chart Pointing to Triple-Digit Prices, for a full look at the forces behind this move.

Gold Eyes Eighth Weekly Advance on Safe-Haven Flows 

Gold is holding firm just below $4,000/oz and on track for its eighth consecutive weekly advance — a testament to its enduring appeal when uncertainty reigns. Despite a modest Friday dip, spot gold climbed roughly 2.2% for the week, while futures hovered near $3,983. 

The drivers are familiar: sticky inflation, weak global growth, and renewed geopolitical tension. With expectations building for an upcoming Fed rate cut, gold’s momentum shows no signs of stalling. The metal hit an intraday record of $4,059/oz earlier this week and is now up more than 50% year-to-date. 

As markets question central bank resolve and fiscal sustainability, the gravitational pull toward hard assets keeps intensifying. 

Dollar Slides Toward One of Its Worst Years on Record 

The U.S. dollar is limping through one of its toughest stretches in decades — down 10–11% year-to-date and on pace for its worst calendar year since the late 1970s. Investors are dumping dollars amid concerns over ballooning fiscal deficits, political dysfunction, and growing pressure on the Federal Reserve to slash rates. 

Aggressive policy rhetoric out of Washington and persistent inflation worries have eroded confidence in the greenback’s traditional safe-haven status. The beneficiaries? Gold and silver, which are absorbing capital fleeing fiat currencies. 

A weaker dollar makes U.S. exports more competitive, but it also amplifies commodity prices and inflation risks — a dynamic that’s been rocket fuel for gold and silver. 

U.S. Finalizes $20B Currency Swap With Argentina 

Washington and Buenos Aires just sealed a $20 billion currency swap — the first time the U.S. has agreed to hold Argentine pesos as part of a stabilization package. Brokered by Treasury Secretary John Bessent and Argentina’s libertarian president Javier Milei, the deal aims to strengthen the peso, rebuild Argentina’s reserves, and deepen dollar-denominated trade. 

Argentina will use the proceeds to repay IMF debt and stabilize its domestic market, but the arrangement exposes the U.S. to currency risk if Milei’s reforms stumble. 

Beyond the bilateral implications, the deal highlights Washington’s growing use of financial diplomacy to counter China’s influence in Latin America — and serves as another reminder that confidence in fiat currencies, especially amid fiscal experimentation, can shift on a dime. 

BLS Rushes to Release Inflation Data Despite Shutdown 

The Bureau of Labor Statistics is quietly recalling furloughed staff to finish the Consumer Price Index (CPI) — a critical inflation gauge delayed by the ongoing government shutdown. Originally slated for October 15, the data is unlikely to meet that deadline but should still arrive in time for the Social Security Cost-of-Living Adjustment announcement before November 1. 

Without fresh CPI figures, the Federal Reserve lacks one of its key inputs for upcoming policy decisions, and financial markets are flying blind on inflation. The data had already been collected when the shutdown began October 1, but processing ground to a halt. 

In the vacuum, traders are leaning even more heavily on market-based indicators — and inflation-sensitive assets like gold and silver — to gauge where the economy is headed. 

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