Overview
- Silver slid about 8.7% on Monday after touching record highs near $80–$84 an ounce, then recovered above $75 on Tuesday as gold also bounced from its steepest two‑month decline.
- The CME raised initial margin requirements on silver futures, and analysts cited thin holiday liquidity and profit‑taking for the outsized move.
- For 2025, silver is up roughly 150%–160% and gold about 66%–70%, putting both on track for their biggest annual gains since 1979 with support from central‑bank buying and ETF inflows.
- Tight physical supply and surging industrial demand—from solar, EVs, electronics and data centers—have drained inventories, with Chinese speculative buying lifting Shanghai premiums and India’s spot price hitting a record Rs 2.41 lakh per kg.
- Traders are watching China’s export licensing for silver starting Jan. 1, 2026, and expectations of easier U.S. policy, factors that could keep prices elevated and volatility high into early 2026.