Silver outlook for 2026: Demand drivers, supply limits may support prices

After a bumper run in 2025, silver's long-term case remains intact, but experts warn investors to brace for volatility and moderate returns as global conditions evolve

Silver’s scorching rally shows no signs of cooling in 2025, with its price crossing the ₹2 lakh per kg mark in the domestic market. This precious metal has delivered a return of 123 per cent year-to-date.

 

“Lower global yields, rising recession fears, and renewed safe-haven demand boosted all precious metals. But silver outperformed because it is both a macro hedge and a high-growth industrial metal,” says Niranjan Avasthi, senior vice-president, Edelweiss Mutual Fund. 

After such a strong run, the key question for investors is whether silver can continue to reward them in 2026. 

Is silver’s demand–supply balance supportive? 

Experts believe