The silver market is heating up rapidly as demand from renewable-energy applications intensifies amid tight supply dynamics.
Key Highlights
- The price of Silver rose to around US$48.33 per troy ounce on November 7 2025, up roughly 0.62% on the day and still about 54.45% higher year-on-year.
- Analysts note a multi-year structural deficit in silver supply — demand, particularly from solar and industrial use, has “massively exceeded” supply.
- The metal has been formally designated a “critical mineral” in the U.S., bolstering investment and strategic buy-side interest.
- Despite the rally, one-month performance shows a slight pull-back (~-1.09%) — indicating consolidation even amid the strong year-on-year gains.
Silver Breaks Out as Green Demand Escalates
Silver has recently captured greater attention across financial markets thanks to its dual role: as a traditional precious metal and an industrial input. The data show it is trading near US$48.33/oz and remains over 50% higher than a year ago, signalling sustained momentum. This upward trend is underpinned by demand from solar-photovoltaic industries and other “green economy” segments, which are consuming increasing volumes of silver. Analysts expect that trend to continue.
Structural Supply Deficit Driving Momentum
Behind the price action lies a structural story: the global silver market is enduring a supply shortfall that has persisted for several years. According to recent commentary, last year’s deficit extended into its fourth consecutive year in 2025, driven by strong industrial demand and constrained mine production. The designation of silver as a U.S. “critical mineral” has elevated its strategic status, attracting not just investor flows but also policy attention.
Short-Term Consolidation Amid Long-Term Strength
While silver’s long-term trajectory appears bullish, the market is not immune to short-term pauses. The one-month decline of around 1.09% suggests some profit-taking or consolidation is underway even as the year-on-year gains remain large. From a trading standpoint, this could represent a period of accumulation before a next leg higher — traders will be watching support/resistance levels (e.g., the US$47-US$50 zone mentioned in commentary) closely.
Bottom Line
Silver stands out as a compelling story in precious and industrial metals alike. The intersection of green-energy demand and constrained supply provides the structural backdrop, while near-term consolidation suggests tactical opportunities. Market participants should monitor policy designations, industrial demand trends, and inventories for cues on the next directional move.