Stringent Chinese export licensing, early-January COMEX spikes and a looming Bloomberg Commodity Index rebalancing combined with ongoing supply deficits to drive heightened volatility and upside pressure in silver prices.

This week silver experienced dramatic swings: a year-end rally that pushed prices past $75/oz was abruptly checked by CME margin increases that sparked an ~8% sell-off. Simultaneously, China’s looming export-licensing regime and rising industrial strain are reshaping physical supply dynamics. Investors face heightened short-term volatility driven by liquidity moves and longer-term structural tightening from policy and demand.

Silver surged above $70/oz this week as industrial demand from AI, solar and EV sectors, shrinking inventories and Fed rate-cut expectations pushed prices to record highs. India saw sharp domestic gains and miner stocks rallied, underscoring a structural squeeze in supply and rising investor appetite.

Silver surged to multi-decade highs after the Fed cut rates, briefly overtaking crude oil prices as industrial demand — notably from AI and clean-energy sectors — tightened supply. Producer stocks like Hindustan Zinc jumped, and a short profit-taking pullback followed the rally.

Silver surged past $61/oz in early December as sustained ETF inflows, a structural supply shortfall and Fed rate-cut expectations pushed prices to new records. Mining stocks rallied, Indian wholesale selling spiked, and analysts warn the imbalance may persist into 2026.

Silver climbed to near $59/oz this week as Fed rate-cut expectations, persistent supply deficits and heavy ETF inflows combined with rising industrial demand—especially for solar—to squeeze inventories and drive backwardation in futures. Short-term liquidity events and retail interest amplified the rally, creating a rare period of pronounced physical tightness.