Silver has surged above $100/oz for the first time, extending an exceptional rally. Prices rose nearly 150% last year and are up another 40% year-to-date, significantly outperforming gold.
The move reflects a powerful mix of safe-haven demand and strong industrial consumption, pushing the gold-silver ratio to just above 50 – its lowest level since 2011. Silver’s smaller market size and dual role as both an industrial and investment metal have amplified recent price swings.
Support has come from a weaker US dollar, lower real yields, strong retail buying, and a historic short squeeze. At the same time, booming demand from solar, electrification, and grid infrastructure has tightened the physical market, while limited mine supply (much of it produced as a by-product) has kept the market in deficit.
Risks remain, including demand destruction if prices stay elevated or global growth slows. Still, the broader setup remains constructive, with tight supply, solid industrial demand, and strong investor interest supporting silver’s rare combination of precious-metal momentum and industrial strength.
Meanwhile, gold is nearing $5,000/oz, up 14% this year, supported by a weaker dollar, geopolitical tensions, central bank buying, and concerns over the Federal Reserve’s independence.
Further reading: MarketWatch | Silver finally hits $100 an ounce — and some experts say that’s just the beginning
Disclaimer: This blog is for informational purposes only and does not constitute financial advice. Buying physical gold as an investment involves risk, as the value of precious metal prices can be volatile. Historical financial performance does not necessarily give a guide of future financial performance. We recommend that you conduct your own independent research and seek professional tax, legal and financial advice before making any investment decisions.
