Unstoppable Surge: Silver Prices Skyrocket Amid Market Volatility

Silver prices reached new highs, rising to Rs 2,40,000 per kg in the national capital due to sustained trader interest. Notable increases in gold and silver are attributed to macroeconomic changes, industrial demand, and structural supply constraints. Commodity markets continue to outperform equities amidst inflation concerns and geopolitical tensions.

In a remarkable display of market momentum, silver prices soared to a record Rs 2,40,000 per kg in the national capital, marking a fifth consecutive day of increases. The All India Sarafa Association reported this surge, emphasizing persistent trader buying as a significant driver.

As of now, silver has seen an impressive 167.55 per cent increase, rising from Rs 89,700 per kg at the close of 2024. Meanwhile, gold retraced slightly, reflecting profit-taking and international market volatility. Despite recent tumult, the commodity markets, particularly precious metals, remain robust, backed by macroeconomic trends and industrial demand.

Experts suggest that supply constraints, rising inflation, and geopolitical risks are underpinning this bullish trajectory. Both gold and silver are expected to maintain their appeal as tangible assets, contrasting with more modest gains in equities. With ongoing industrial demand, especially from sectors like solar and AI, silver's price discovery appears set to continue.

(With inputs from agencies.)