What is the story about?
Silver prices climbed to all-time high on Tuesday (December 23), extending a rally that has outpaced other precious metals amid supply deficits, strong industrial demand and sustained investment inflows.
Spot silver rose about 1% to $69.70 an ounce in early trade, after touching a record high of $69.98. The metal has gained more than 141% so far this year, outperforming gold as investors increased exposure to assets seen as both a hedge and a beneficiary of structural demand trends.
Market participants pointed to tight supply conditions and rising industrial consumption—particularly from renewable energy and electronics—as key drivers behind silver’s surge.
Analysts said silver continues to draw support from the broader strength in precious metals, even as year-end liquidity thins.
Some consolidation may occur in the near term due to lower festive-period volumes, according to market watchers. However, the underlying outlook remains constructive, with expectations that prices could resume their upward trajectory once trading activity normalises.
Longer-term projections place the $75-per-ounce level as a potential target if current fundamentals persist.
In India, silver prices held above the ₹2 lakh mark, reflecting firm domestic demand and global cues. Silver was priced at around ₹223 per gram, or ₹2.23 lakh per kilogram.
Market participants said the ability to sustain these levels signals strong investor confidence alongside steady industrial usage.
Commenting on the trend, Aksha Kamboj, Vice President of the India Bullion & Jewellers Association (IBJA) and Executive Chairperson of Aspect Global Ventures, said silver’s resilience above ₹2 lakh stresses continued trust from both investors and industry participants.
Separately, Vikram Subburaj, CEO of Giottus, noted that while short-term volatility cannot be ruled out, the broader trend for silver remains supportive due to limited supply and rising demand linked to green energy applications.
He added that silver continues to attract interest as an asset offering both stability and growth potential.
-With Reuters inputs
Spot silver rose about 1% to $69.70 an ounce in early trade, after touching a record high of $69.98. The metal has gained more than 141% so far this year, outperforming gold as investors increased exposure to assets seen as both a hedge and a beneficiary of structural demand trends.
Market participants pointed to tight supply conditions and rising industrial consumption—particularly from renewable energy and electronics—as key drivers behind silver’s surge.
Analysts said silver continues to draw support from the broader strength in precious metals, even as year-end liquidity thins.
Some consolidation may occur in the near term due to lower festive-period volumes, according to market watchers. However, the underlying outlook remains constructive, with expectations that prices could resume their upward trajectory once trading activity normalises.
Longer-term projections place the $75-per-ounce level as a potential target if current fundamentals persist.
In India, silver prices held above the ₹2 lakh mark, reflecting firm domestic demand and global cues. Silver was priced at around ₹223 per gram, or ₹2.23 lakh per kilogram.
Market participants said the ability to sustain these levels signals strong investor confidence alongside steady industrial usage.
Commenting on the trend, Aksha Kamboj, Vice President of the India Bullion & Jewellers Association (IBJA) and Executive Chairperson of Aspect Global Ventures, said silver’s resilience above ₹2 lakh stresses continued trust from both investors and industry participants.
Separately, Vikram Subburaj, CEO of Giottus, noted that while short-term volatility cannot be ruled out, the broader trend for silver remains supportive due to limited supply and rising demand linked to green energy applications.
He added that silver continues to attract interest as an asset offering both stability and growth potential.
-With Reuters inputs
