Silver Price Hits Record High: Sharp Surge Sparks Market Buzz — Is Another Wave Coming?

National Desk: Silver prices witnessed a sharp rally on Tuesday, creating a stir in the bullion market. On the Multi Commodity Exchange (MCX), silver surged to an all-time high of ₹3,63,200 per kilogram. A weaker US dollar, rising global uncertainty, and new tariff measures announced by the US pushed investors toward safe-haven assets like silver.

According to experts, the rally in silver is not only driven by its safe-haven appeal but also supported by volatility in the currency markets. The US dollar has been hovering near its long-term lows, making dollar-denominated commodities more attractive to foreign investors.

Record Rates on MCX

Silver prices on MCX jumped 8.52%, reaching a historic high of ₹3,63,200 per kg. Gold prices also moved higher, rising 1.71% to ₹1,58,700 per 10 grams. The surge comes amid escalating trade tensions following tariff actions taken by former US President Donald Trump against South Korea, which have added to global market uncertainty.

Silver Up Nearly 200% in a Year

Over the past 12 months, silver prices have delivered gains of over 200%. According to a report by Motilal Oswal Financial Services Ltd, silver has outperformed gold and other major asset classes during this period. The report notes that the long-term outlook for silver remains strong, supported by rising industrial demand and limited supply. However, after the recent sharp rally, short-term price consolidation or portfolio rebalancing cannot be ruled out.

Outlook Ahead

Analysts believe that domestic prices of silver and gold will continue to remain sensitive to movements in the US dollar and the Indian rupee, as well as developments related to US trade policies and central bank decisions. For domestic investors, closely tracking global economic developments and currency movements will be crucial in the coming days.