The white metal commenced trading on a flat note Wednesday, January 7, before edging marginally higher to extend its unprecedented bull run fueled by persistent geopolitical friction between the United States and Venezuela.
Silver opened the trading session at ₹2,57,599 per kilogram on Wednesday morning, subsequently touching an intraday floor of ₹2,57,001 per kg during early hours. The precious metal’s upward trajectory has gained momentum amid intensifying US-Venezuela confrontations. On Tuesday, MCX silver established a fresh all-time peak, climbing to an intraday zenith of ₹2,59,322 per kg before concluding the session marginally lower at ₹2,58,000 per kg.
Extending the bullish momentum, COMEX silver launched Wednesday’s session with a gap-up opening and rapidly achieved a new historic milestone of $82.548 per ounce within minutes of the opening bell.
“The ongoing up-move in gold and silver is being driven by structural demand rather than short-term speculative activity. Sustained central-bank gold purchases, elevated geopolitical uncertainty, and expectations of global monetary easing continue to reinforce gold’s role as a core portfolio hedge. Silver adds a layer of support through robust industrial demand, led by solar energy, electric vehicles, AI infrastructure, and broader electrification themes, resulting in persistent supply tightness,” explained Ponmudi R, CEO of Enrich Money.
Market Outlook for Silver
Market analysts anticipate continued volatility in silver valuations, driven by the ongoing US-Venezuela crisis, which threatens to interrupt silver shipments from Peru, Chad, Mexico, and additional Latin American exporters, intensifying supply shortage concerns.
“MCX Silver is currently trading near the ₹2,50,000 level. Sustained price action above ₹2,45,000 continues to support an upside trajectory toward the ₹2,50,000–₹2,55,000 zone, while the key accumulation support is seen in the ₹2,40,000–₹2,42,000 range,” Ponmudi stated.
Silver has delivered an exceptional performance in 2025, surging approximately 161% year-to-date. Following its record high of $86.62 on December 29, prices retreated to approximately $72 per ounce on January 1, as market participants locked in year-end gains and responded to margin requirement increases imposed by the CME.
A Tata Mutual Fund analysis suggests that year-end profit realization, portfolio rebalancing activities, and revised demand-supply projections for 2026 could trigger price corrections. “At current levels, investors may remain cautious with the fresh investment and may look to invest in silver through SIP / staggered mode, considering the volatile nature of the commodity,” the fund house’s report advised.
Disclaimer: This article serves educational purposes exclusively. Readers should seek guidance from qualified investment advisors before making any financial decisions.
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