The big surprise of the year... It outperformed gold

Silver drew attention in the precious metals market last week. Expectations that the US Federal Reserve (Fed) will cut interest rates have led investors to seek safe havens. This development caused silver prices to rise rapidly.

Following the statements made by Fed Chair Jerome Powell at the Jackson Hole Economic Policy Symposium, the strengthening possibility of an interest rate cut moved silver ahead of gold.

34.6 PERCENT GAIN SINCE THE BEGINNING OF THE YEAR

The tightening of supply in the spot market and investors' search for alternatives to gold have enabled silver to gain 34.6 percent in value since the beginning of the year. During the same period, gold showed an increase of 28.5 percent.

The gold/silver ratio also fell to its lowest level since December 9, 2024, and was recorded at 86.7.

"AFFORDABLE ALTERNATIVE"

Analysts state that industrial demand remains strong as the silver market approaches its fifth year of structural deficit. According to experts, the fact that silver is more affordable compared to gold increases investor interest.

In weekly precious metal performances, silver rose by 2.3 percent, platinum by 1.8 percent, and gold and palladium by 1.1 percent.

WILL THE RISE CONTINUE?

The future of silver, which has attracted attention with both investor interest and industrial demand support, will be shaped by the Fed's potential interest rate decisions and the supply-demand balance.

News Source: 12punto