"Fasten your seatbelts": the value of silver topped $100 an ounce for the first time

The cost of silver for the first time in history rose above $100 per ounce, setting a new record. Prices are now supported by concerns about duties and shortages of the precious metal, analysts say. However, they are already seeing warning signs.

The spot price of silver during trading on January 23 rose by 6% at once, reaching $102.02 per ounce. Since the beginning of 2026, the price has already increased by more than 40% after rising 147% in 2025, noted Reuters.

"Silver will continue to benefit from many of the same factors that are supporting gold demand," said Metals Focus director Philip Newman in comments to Reuters. Additional support is provided by ongoing duty risks and low liquidity in the physical market in London, Newman added.

This week's rise in silver prices is due to tensions between the U.S. and its European allies, as well as so far unsuccessful attempts to reach an agreement to end the war in Ukraine, Bloomberg said. Additional demand is caused by threats to the independence of the Federal Reserve, the agency added.

"Silver is in the midst of a self-inflating fever: from the abundance of geopolitical risks adding to gold's resilience, silver is also benefiting - thanks to its lower price. Everyone apparently wants to get in on this, but it sends out worrying signals. When cracks start to appear, they could easily turn into a chasm. Fasten your seatbelts," StoneX analyst Rona O'Connell told Reuters.

BofA strategist Michael Widmer estimated the fundamentally sound price of silver at around $60, Reuters reports. Silver demand from solar panel manufacturers is likely to peak in 2025, and overall industrial demand is under pressure due to record high prices, Widmer explained.

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