Silver Soars: Industrial Demand Spurs Record Highs

Silver prices have skyrocketed, reflecting strong industrial demand and concerns over supply disruptions. Reaching record highs in both domestic and global markets, the precious metal is increasingly seen as a significant investment. Analysts anticipate continued growth due to ongoing industrial requirements and potential supply constraints, especially in China.

Last week, silver prices surged over 15%, reaching a new record high of Rs 2.42 lakh per kg in the futures market. This increase was fueled by strong industrial demand, expectations of US interest rate cuts in the coming year, and concerns over potential supply disruptions.

The domestic market rally mirrored global trends, with silver hitting an all-time high of USD 79.70 per ounce, up over 11% in a single day. According to experts, silver's role in technology and dwindling stocks have contributed to its rising valuation.

Analysts highlight China's export restrictions on silver, set to begin in January 2026, as a significant factor likely to affect global supply chains. Looking ahead, industrial demand is expected to further outpace supply, potentially pushing silver prices towards USD 100 per ounce by 2026.

(With inputs from agencies.)