CHENNAI: Silver prices staged an extraordinary surge on weekend, scaling fresh record highs across global and domestic markets, underscoring the metal’s growing importance as both an industrial input and an investment asset. On the COMEX (Commodity Exchange Inc., US), silver futures for the March 2026 contract climbed to an all-time high of $79.70 per ounce, marking a breathtaking rally of nearly 190 percent from the 52-week low of $27.545 per ounce. The sharp upswing reflects one of the strongest multi-year advances ever seen in the precious metals space.
The rally was mirrored with equal intensity in India, where silver futures on the Multi Commodity Exchange (MCX) touched a new peak of Rs 2,39,397 per kg. The move highlights how global price momentum, coupled with domestic currency dynamics and robust local demand, has propelled silver to unprecedented levels in the Indian market. Over the past year, silver has significantly outperformed gold, drawing increased attention from traders, investors and industrial consumers alike.
Market participants attribute the powerful rise in silver prices to a deepening structural imbalance between supply and demand. Silver production has struggled to keep pace with expanding consumption, particularly from industrial sectors that rely heavily on the metal. Rapid growth in renewable energy, electronics, electric vehicles and advanced manufacturing has sharply lifted demand, while mine supply has remained relatively constrained. Unlike gold, silver’s extensive industrial use makes its price more sensitive to shifts in manufacturing activity, amplifying gains during periods of strong global demand.
"MCX Silver extended its sharp advance to Rs 2,40,935 per kg, registering a steep rise of nearly Rs 30,000 over the past week and scaling fresh lifetime highs in line with global cues and supply constraints," says R Ponmudi, a market expert and CEO, Enrich Money.
According to him the broader rising channel continues to support the move, reinforcing the strength of the trend. Immediate support is placed at Rs 2,23,000–Rs 2,20,000, which is likely to attract buying interest on any correction. A sustained hold above Rs 2,40,000 could accelerate the rally toward Rs 2,50,000–Rs 2,60,000 in the coming months.
"Strong fundamentals, including rising industrial demand combined with persistent supply deficits, continue to favour a buy-on-dips approach into 2026," Ponmudi says.
Macroeconomic factors have further reinforced the rally. Expectations of easier monetary policy in major economies have weighed on the US dollar, increasing the appeal of dollar-denominated commodities such as silver. At the same time, lingering geopolitical uncertainties and concerns over global economic stability have encouraged investors to seek refuge in precious metals, boosting safe-haven flows into silver alongside gold and platinum.
Investment demand has also played a decisive role in driving prices higher. Strong inflows into silver-backed exchange-traded products, coupled with aggressive positioning in futures markets, have added momentum to the rally. As prices pushed through successive resistance levels, fresh speculative interest entered the market, accelerating the upward move and contributing to heightened volatility.
In India, the surge in silver prices has been magnified by domestic factors. The country remains one of the world’s largest consumers of silver, with demand spanning jewellery, investment, electronics and solar manufacturing. A weaker rupee against the US dollar has further inflated local prices, translating global gains into sharper increases on the MCX. Seasonal buying interest and heightened investor participation have added to the bullish sentiment in domestic markets.
While the prevailing trend remains firmly positive, analysts caution that the pace of the rally has increased the risk of short-term corrections. Silver is historically more volatile than gold, and sudden shifts in global interest rate expectations, currency movements or supply conditions could trigger bouts of profit-taking. Nevertheless, many market watchers believe the broader fundamentals continue to favour elevated prices over the medium term, given the metal’s critical role in energy transition technologies and the absence of a meaningful supply response.
Silver’s ascent to nearly $80 per ounce on COMEX and close to Rs 2.4 lakh per kg on MCX marks a defining moment for the market. The surge reflects a rare convergence of industrial demand growth, supportive macroeconomic conditions and strong investment flows. As markets look ahead to 2026, silver’s performance has positioned it at the centre of the global commodities narrative, with investors and industry closely tracking whether the rally can sustain its remarkable momentum.