Silver Prices Soar While Markets Remain Cautious – News and Statistics

Feb 14, 2025

Silver prices surged to their highest levels since late October, driven by the same dynamics propelling gold to unprecedented heights. Analysts, however, remain circumspect about silver’s trajectory due to its intrinsic volatility and the uncertainty of replicating gold’s impressive gains in 2024. For more details on this development, read the full story on Yahoo Finance.

Currently, spot silver experienced a 2% rise to $33 per ounce, reaching a peak of $33.41. This marks a significant movement from its October 22 peak of $34.87 per ounce. Independent analyst Ross Norman noted that silver has finally broken above crucial technical resistance and may soon challenge the $35 level if its current momentum continues.

In parallel, silver witnessed a 14% increase so far in 2025, following a 21% rise in 2024, buoyed by fears of a prospective trade war triggered by proposed U.S. tariffs. The U.S. Comex futures reflect this trend, with a March futures contract rising 3.3% to $33.79.

Trade and Market Dynamics

Adding to silver’s bolstering factors, copper prices also reached a multi-month high in London, further supporting the precious and industrial metal. Meanwhile, the gap between Comex gold futures and London spot prices widened, with spot gold peaking at a record $2,942.70 per ounce.

Interestingly, COMEX-approved warehouse inventories saw an influx, with CME silver stocks soaring by 22% to 375.8 million ounces since the announcement of potential tariffs by the U.S. on Mexican and Canadian imports. While gold stocks saw more significant growth due to logistical efficiencies, silver stocks in London vaults dwindled significantly, registering an 8.6% decline to 23,528 tons in January.

Silver Market Volatility and Economic Factors

Despite these positive indicators, experts caution about silver’s historic volatility compared to gold. Analyst Rhona O’Connell highlighted this inherent characteristic, noting that silver’s reactions to gold’s movements are generally more amplified.

Focusing on the U.S. trade data for unwrought silver, the IndexBox platform provides that in 2024, the United States reported an import value of $4.1 billion, down from $4.4 billion in 2023. Exports in 2024 also fell to $891.3 million from $965.1 million in 2023.

Canada remains a primary trading partner for the U.S., with import values of $726.1 million. Other significant import partners include Turkey, South Korea, and Chile. Meanwhile, exports to Canada amounted to $486 million, followed by China, France, South Korea, and Taiwan.

Given the ongoing global economic trends, rate cuts by the U.S. Federal Reserve may be less frequent than anticipated, while slower growth in China could pose challenges to silver’s industrial demand.

Source: IndexBox Market Intelligence Platform