Silver prices have surged to fresh record highs, a dramatic reflection of evolving market dynamics that are pushing the industrial metal well beyond historical norms. In trading today, spot silver reached an intraday peak above US$65 per ounce, eclipsing previous records and marking one of the strongest rallies among commodities in 2025.
The rally has been underpinned by a rare combination of persistent supply deficits and robust demand from both industry and investors. Global surveys show that the silver market has posted structural deficits for a fifth consecutive year, as mined output remains constrained while consumption in renewable energy, electronics, and other industrial sectors continues to expand.
Macro forces have also been influential. Expectations of looser monetary policy and continued real-yield compression have reduced the opportunity cost of holding non-yielding assets like precious metals, attracting interest from institutional portfolios seeking diversification and inflation hedges. Silver’s dual role as both a critical industrial input and a store of value has widened its investor base beyond traditional bullion market participants, with ETF inflows and retail interest adding to upward price pressure.
Silver’s ascent has far outpaced that of gold this year, reflecting its heavier industrial weighting and heightened demand from sectors tied to decarbonisation and digitalisation. The metal’s leap past oil prices, a rare milestone not seen in decades, underscores how fundamental and speculative drivers can converge in commodity markets.
However, analysts caution that silver’s volatility remains elevated. Profit-taking episodes and the metal’s sensitivity to macroeconomic signals (such as interest rate expectations and U.S. jobs data) mean sharp pullbacks are possible even as long-term structural drivers remain supportive
