Trader Peter Brandt said the gold-silver ratio may approach an all-time high, a move that would indicate gold gaining relative to silver on the price measure he cited.
On X, Brandt wrote that the ratio might “take a run at an ATH,” tagging his post with $GC_F and $SI_F. CME identifies GC as its gold futures code and SI as its silver futures code. Brandt’s written X post gave no numerical target.
CoinGape reported that Brandt’s weekly chart showed the ratio near 74 and described 121.7 as a possible level. The ratio is calculated by dividing gold’s quoted price by silver’s; its value depends on the prices being compared. A higher quotient means gold is more expensive relative to silver in those observations, even if both metals are falling.
Reuters reported that spot gold was $4,000.59 an ounce, down 0.6%, at 11:20 a.m. EDT (1520 GMT) on Oct. 23, after reaching an intraday low of $3,975.23. Spot silver was down 0.7% at $54.17 an ounce. Reuters said higher energy prices raised inflation concerns and reinforced expectations that U.S. interest rates would remain elevated. CME FedWatch pricing cited by Reuters showed a 92% chance of no rate change at the October Federal Reserve meeting and an 83% probability of an increase in December.
The World Bank’s April 2020 Commodity Markets Outlook said the ratio reached a prior peak in mid-March 2020. The report linked that move to investors seeking safety in gold and reduced industrial use of silver during pandemic shutdowns.
The Federal Reserve calendar lists the Federal Open Market Committee’s (FOMC) next meeting for Oct. 27-28. The U.S. Bureau of Economic Analysis (BEA) schedule lists its September Personal Income and Outlays report, which includes the personal consumption expenditures price index, for Oct. 29.
