With the current market trend, it seems like gold’s volatile cousin, silver, is making a comeback. The white metal is extending sharp gains, mirroring its previous rallies.
Amid US tariff tensions and policy instability, the market focus is now on volatile silver. The white metal is clocking sharp gains, trading near the $90/oz mark in the international markets.
On February 26, spot silver rose near its four-week record high of $91/oz in the intra-day session, marking a jump of over 42% from its early February low of $64/oz.
In late January, the white metal had surged to an all-time high of $120/oz in the international market, while on MCX, silver futures were trading above the Rs 4 lakh/kg mark. Now, the focus lies on whether the shiny metal breaches the crucial $100/oz mark.
So, is silver making a comeback and set for even higher gains? A recent Citi report referred to the possibility of it touching $100/oz levels. Here’s what industry experts and market observers have to say about silver’s latest rally.
‘$95 is the key hurdle for silver’s $100 run’
Kaynat Chainwala, AVP Commodity Research, Kotak Securities, said that for silver to breach the $100/oz mark, it would first have to hurdle past the $95/oz level.
“On COMEX, silver would need a sustained close above $92 to target $95, and only if it closes and holds above $95 would it open the way toward $100,” the analyst said.
The analyst said that spot silver surged above the $91/oz mark earlier this week on the back of tariff-related uncertainties and tensions between the US and Iran.
However, she noted that the white metal retreated immediately as negotiations between the US and Iran progressed.
“Silver pulled back sharply yesterday (February 26) to $85.2/oz amid easing geopolitical risk premiums from extended U.S.–Iran talks and rising expectations that interest rates will remain on hold longer,” the analyst added.
Chainwala said that for silver to post sustained gains, clearer commentary from the US Federal Reserve or renewed geopolitical escalations would be required. US central bank policymakers currently remain divided over the path of rate cuts and hikes.
“On MCX, the first resistance is at Rs 282,000/kg; a break and hold above this level could target Rs 292,000/kg, followed by Rs 305,000/kg,” the analyst said.
She added that support lies at $85/oz and Rs 250,000/kg; a breach of these levels could trigger further weakness. “In other words, silver’s path toward $100 depends on successfully breaching and sustaining above these key resistance levels while holding near-term support.”
Chainwala added that a strong US dollar continues to cap the upside for the white metal. “A major risk remains a sharp U.S. equity market correction, which could weigh on industrial demand and delay silver’s move toward $100,” she said.
‘Bullish on silver on supply constraints’
According to Kedia Advisory’s Ajay Suresh Kedia, the undertone for silver remains bullish, as he forecasts that the white metal is set to breach the $100/oz mark yet again. He says that ongoing geopolitical uncertainties, along with supply constraints and a declining gold-silver ratio, are driving momentum for the white metal.
The analyst told Financialexpress.com that emerging delivery shortages on exchanges, coupled with a trading squeeze, are adding to the upside for silver. He noted that silver’s current price action is mirroring its November–December 2025 rally, which was driven by similar physical tightness and demand dynamics.
‘$100 retest tough in near-term’
On the other hand, Hareesh V, Head of Commodity Research at Geojit Investments, says that silver prices are expected to remain “choppy” in the near term, adding that the white metal is likely to experience short-term volatility.
“Silver prices are expected to remain choppy in the near term, with Comex broadly confined to a $65–94 per ounce range. Given this congestion, a retest of the $100 level in the immediate future appears challenging,” the analyst said.
However, the analyst says that the long-term fundamentals for silver remain strong on the back of steady investment demand and favourable structural trends.
“While short-term volatility may persist, the broader trajectory still indicates potential for sustained appreciation over time,” the analyst said.
Conclusion
Most market observers believe that the near-term can be choppy, but the long-term fundamentals for silver remain strong. They believe that $95 per troy ounce is a key level to watch. Breaching it can make the journey to $100 much faster.
Disclaimer: The views and forecasts made in the article are those of different analysts/brokerage companies, and not of Financial Express.com. We advise the audience to consult with certified experts before making any investment decisions