Silver prices have risen nearly 10% in the last week and are now sitting at their highest level in three years.
Silver’s price is currently at $27.25 U.S. an ounce, up 9.4% week to date, according to market data. That’s the highest price for silver since June 16, 2021.
Analysts say that silver is piggy backing on gold prices that have risen above $2,300 U.S. an ounce in recent days and are currently at an all-time high.
Gold is now trading at $2,315 U.S. an ounce, up 3% this past week.
The price of gold is rising on expectations for interest rate cuts this year and as central banks increase their holdings of the precious metal with wars raging in the Middle East and Ukraine.
The Silver Institute has said that it expects demand for the industrial and precious metal to remain elevated throughout this year.
The institute says silver supplies are expected to mark a fourth straight year in deficit during 2024 and that demand will reach its second-highest level on record this year.
Currently, silver’s rally is being fueled by a technical breakout above the key resistance level of $25 U.S. an ounce, say analysts.
Silver’s all-time high of $48.70 U.S. per ounce was reached in the late 1970s. While analysts don’t expect silver’s price to get that high, they do see $30 U.S. in play.
