Silver futures rallied sharply by Rs 8,356 to hit a fresh record of Rs 2,06,111 per kilogram on Wednesday amid strong global cues, persistent supply concerns and expectations of rate cuts by the Federal Reserve next year.
On the Multi Commodity Exchange (MCX), silver futures for March contract surged by Rs 8,356, or 4.2 per cent, to hit a fresh peak of Rs 2,06,111 per kilogram. It had closed at Rs 1,97,755 per kg on Tuesday.
The May 2026 contract for silver also witnessed heavy buying, jumping by Rs 8,266, or 4.12 per cent to touch a lifetime high of Rs 2,08,914 per kilogram.
1 December 2025
Get the latest issue of Outlook Business
So far in this year, silver prices have added Rs 1,18,533, or 135.34 per cent, from Rs 87,578 per kilogram on January 1, 2025, reflecting sustained investor interest in the metal.
However, gold futures traded lower after opening on a positive note. The precious metal for February delivery decreased by Rs 359, or 0.27 per cent, to Rs 1,34,050 per 10 grams, compared with the previous close of Rs 1,34,409 per 10 grams.
The April 2026 contract for the yellow metal also dipped by Rs 293, or 0.21 per cent, to Rs 1,37,117 per 10 grams.
In the international markets, Comex gold futures for February delivery increased by USD 13.1, or 0.30 per cent, to USD 4,345.1 per ounce.
"Gold rose above USD 4,320 per ounce, testing levels near all-time highs last seen in October, as investors continued to see scope for additional easing by the Federal Reserve next year," Jigar Trivedi, Senior Research Analyst at Reliance Securities, said.
Investors are now awaiting November's Consumer Price Inflation data due on Thursday, followed by Personal Consumption Expenditures (PCE) figures on Friday, for further insight into inflation pressures, he added.
Meanwhile, silver outshone gold in global trade, with Comex futures crossing the USD 66 per ounce mark for the first time. The March 2026 contract appreciated by USD 3.33, or 5.25 per cent, to touch an all-time high of USD 66.65 per ounce.
"Crossing the USD 65 threshold marks the dawn of a new era for silver. As silver prices overtake crude oil for the first time in 40 years, the market is sending a clear message: the future belongs to the tangible, the critical, and the rare," Aamir Makda, Commodity & Currency Analyst, Choice Broking, said.
He added that this incline in silver was triggered by recent employment numbers from the US which showed that the unemployment rate has risen to 4.6 per cent, which will make the Federal Reserve cut its interest rate in 2026, making non-yielding assets like silver more attractive.
So far in the current calendar year, silver futures have soared by USD 35.09, or 111.18 per cent, from USD 31.56 per ounce on January 1, 2025.
"In a rare historical event, silver is now trading higher than a barrel of WTI crude oil (USD 65/oz vs roughly USD 56/barrel). This inversion hasn't been seen since the late 1970s and early 1980s, signalling that the 'industrial metal' is becoming as strategically important as energy.
"Silver is already in its 5th consecutive year of supply-deficit. Adding to that, weakness in Indian rupee has accelerated prices of Dollar-denominated commodities," Makda
However, gold futures traded lower after opening on a positive note. The precious metal for February delivery decreased by Rs 359, or 0.27 per cent, to Rs 1,34,050 per 10 grams, compared with the previous close of Rs 1,34,409 per 10 grams.
The April 2026 contract for the yellow metal also dipped by Rs 293, or 0.21 per cent, to Rs 1,37,117 per 10 grams.
In the international markets, Comex gold futures for February delivery increased by USD 13.1, or 0.30 per cent, to USD 4,345.1 per ounce.
"Gold rose above USD 4,320 per ounce, testing levels near all-time highs last seen in October, as investors continued to see scope for additional easing by the Federal Reserve next year," Jigar Trivedi, Senior Research Analyst at Reliance Securities, said.
.jpg?auto=format%2Ccompress&fit=max&format=webp&w=768&dpr=1.0)
Investors are now awaiting November's Consumer Price Inflation data due on Thursday, followed by Personal Consumption Expenditures (PCE) figures on Friday, for further insight into inflation pressures, he added.
Meanwhile, silver outshone gold in global trade, with Comex futures crossing the USD 66 per ounce mark for the first time. The March 2026 contract appreciated by USD 3.33, or 5.25 per cent, to touch an all-time high of USD 66.65 per ounce.
"Crossing the USD 65 threshold marks the dawn of a new era for silver. As silver prices overtake crude oil for the first time in 40 years, the market is sending a clear message: the future belongs to the tangible, the critical, and the rare," Aamir Makda, Commodity & Currency Analyst, Choice Broking, said.
He added that this incline in silver was triggered by recent employment numbers from the US which showed that the unemployment rate has risen to 4.6 per cent, which will make the Federal Reserve cut its interest rate in 2026, making non-yielding assets like silver more attractive.
So far in the current calendar year, silver futures have soared by USD 35.09, or 111.18 per cent, from USD 31.56 per ounce on January 1, 2025.
"In a rare historical event, silver is now trading higher than a barrel of WTI crude oil (USD 65/oz vs roughly USD 56/barrel). This inversion hasn't been seen since the late 1970s and early 1980s, signalling that the 'industrial metal' is becoming as strategically important as energy.
"Silver is already in its 5th consecutive year of supply-deficit. Adding to that, weakness in Indian rupee has accelerated prices of Dollar-denominated commodities," Makda said.
