Silver hit a new all-time high on Friday, December 26, 2025, briefly touching $75.14 an ounce in spot trading before easing toward the mid-$74 range. Traders tied the spike to expectations of more U.S. interest-rate cuts, a softer dollar, and fresh geopolitical worry. They also blamed thin year-end liquidity for making every big order feel louder.
Why the move got so sharp
This jump did not come from one headline. Instead, several forces lined up at once:
- Rate-cut bets lifted demand for non-yielding assets like precious metals.
- Reduced holiday liquidity amplified momentum-driven buying.
- Risk-off positioning pushed gold, silver, and platinum to records in the same burst.
If you have ever tried to buy the last tickets for a popular show, you know the feeling. Fewer sellers can make prices jump quickly.
Supply tightness meets real-world demand
Silver’s rally also reflects “real economy” demand, not just a hedge trade. Reuters pointed to shrinking inventories and resilient industrial consumption, which supports the story of a market running tight.
That matters because manufacturers still need silver for electrification trends that keep growing, even when investors turn cautious.
The surge also lifted silver-linked stocks. In India, Hindustan Zinc shares pushed to a fresh 52-week high as domestic MCX silver prices set new peaks.
Looking ahead, Reuters noted forecasts that silver could reach $90 in early 2026 if rate cuts arrive and supply tightness persists. Still, traders expect bigger swings and more profit-taking after such a steep run.
