Silver markets have remained firmly above $36 per ounce, buoyed by a record inflow into silver ETFs—roughly $1.6 billion in June alone—and steadily rising industrial demand. Thanks to unprecedented investment interest, silver logged its best first‐half performance since late 2010, climbing about 25% year-to-date to trade near $36.27 per ounce.
Technically, the gold‐to‐silver ratio, which had spiked past 100 in lockstep with gold’s rally, has eased but stays elevated around 91 (well above its historic 50–60 range), suggesting further upside for silver prices. Moreover, silver has decisively cleared the second‐quarter resistance level near $35.44, pointing toward a medium‐term target of $38–40.
Investor sentiment can often be gauged by ETF flows. As bullish outlooks on silver grow, capital pours into ETFs, reinforcing price momentum. This dynamic was on full display this week when Sprott Asset Management USA—one of the world’s largest precious‐metals managers—announced that its Sprott Silver Miners & Physical Silver ETF (Nasdaq: SLVR), launched in January, has surpassed $100 million in assets under management. The fund combines exposure to silver‐mining equities with holdings of physical silver bullion.
CEO John Ciampaglia believes silver remains markedly undervalued relative to gold, but is beginning to flex its muscles, with prices having breached $35 per ounce for the first time in 12 years. Senior Managing Partner Ryan McIntyre added that after gold’s meteoric rise, many investors are rotating into silver, leaving room for further gains in the latter half of the year.
Beyond investment dynamics, silver’s industrial applications are tightening its market fundamentals. The Silver Institute projects industrial demand to exceed 700 million ounces in 2025—a 3% increase year-on-year—driven by solar power, electronics and artificial intelligence, and the electric‐vehicle revolution. Yet supply remains sluggish, with global output forecast to edge up just 2% to 844 million ounces. A Metals Focus report from April warns of a potential supply deficit of 117 million ounces this year, underscoring the metal’s tightening market balance.
