Silver sparkles worldwide, approaching record high on demand strength and dovish Fed Reserve outlook
Silver prices in global markets edged closer to their all-time high on Friday (November 28), buoyed by firm industrial demand, tightening supplies and rising confidence that the US Federal Reserve will cut interest rates next month. Spot silver gained 1.4% to reach $54.18 per ounce, just shy of its historic peak of $54.50, marking a robust 7.4% weekly jump.
The bullish global momentum was mirrored in India, where silver held steady at Rs 173 per gram and Rs 1.73 lakh per kilogram. Traders said both retail investors and jewellers remained active, sensing further upside amid improving sentiment in precious metals.
Analysts attributed the rally to a blend of structural and macroeconomic factors. A surge in industrial offtake, led by the solar, electronics and battery-manufacturing sectors, has tightened market balances. At the same time, investment demand has remained consistent, with silver’s dual nature as both an industrial and safe-haven asset drawing buyers.
On the Multi Commodity Exchange (MCX), domestic futures also strengthened. The December silver contract rose Rs 1,183, or 0.73%, to Rs 1,63,650 per kilogram across 5,799 lots. The March 2026 contract advanced Rs 1,373, or 0.83%, to Rs 1,67,360 per kilogram in a turnover of 15,578 lots, underscoring broad-based participation.
Rahul Kalantri, Vice-President for Commodities at Mehta Equities Ltd, noted that trading activity in domestic markets stayed steady despite limited global cues due to the US Thanksgiving holiday. “Both gold and silver ended Thursday on a mixed note, but silver continues to hold firm near lifetime highs internationally,” he said. Kalantri identified $53.10–52.75 per ounce as key support levels and $53.95–54.40 as important resistance zones in the global market.
Industry voices echoed the optimism. Aksha Kamboj, Vice President of the India Bullion & Jewellers Association (IBJA) and Executive Chairperson of Aspect Global Ventures, said silver’s upward trend is being driven by real demand rather than speculative interest. “The recent appreciation reflects stable industrial consumption combined with rising investment appetite as markets respond positively to macroeconomic expectations. This steady pattern of growth enhances confidence in silver’s long-term potential and makes it a compelling choice for diversified portfolios,” she said.
Market sentiment has also been lifted by growing expectations of a US Fed rate cut in December. The CME FedWatch Tool shows traders assigning an 87% probability to an easing move—significantly higher than last week. A weaker US dollar has further supported silver by making dollar-denominated commodities cheaper for global buyers.
With supply tightness coinciding with strong industrial needs and a dovish shift in US monetary policy, analysts expect silver to remain well-supported in the near term.