Silver prices surged sharply on Monday, December 22, hitting fresh record highs globally and extending one of the strongest yearly rallies seen in decades. The white metal has outperformed gold in 2025, driven by a powerful mix of US Federal Reserve rate-cut expectations, tight supply conditions, and growing investor preference for hard assets ahead of year-end.
MCX silver price today
In India, silver prices opened the week on a strong footing on the Multi Commodity Exchange (MCX).
MCX Silver (March futures) rose 2.39% to around Rs 2,13,412 per kg in early trade. During the session, prices touched a new intraday record high of approximately Rs 2,13,844 per kg, reflecting strong global cues and sustained buying interest.
Global silver prices hit all-time highs
Internationally, silver grabbed headlines by touching a historic peak near $69.23 per ounce. The rally extends silver’s extraordinary performance in 2025, where prices have more than doubled over the year, significantly outperforming most asset classes.
Market participants note that silver’s move has been sharper and more volatile than gold, underlining its dual role as both a precious metal and an industrial commodity.
Why silver prices are rising sharply
Several factors are aligning behind silver’s surge.
Fed rate-cut expectations
Markets are increasingly betting on further US interest rate cuts starting early 2026. Lower interest rates reduce the opportunity cost of holding non-yielding assets like silver, boosting demand from investors.
Tight supply narrative
Silver markets continue to face supply-side constraints. Limited mine output growth and strong industrial demand, particularly from electronics and renewable energy sectors, have tightened availability, pushing prices higher.
Strong investment inflows
Silver has attracted heavy investment inflows in 2025, with investors seeking exposure to hard assets amid global economic and geopolitical uncertainties. This influx has amplified price moves, especially during periods of thin liquidity.
Gold spillover effect
Silver has also benefited from gold’s record-breaking rally. As gold prices surged to new highs, investors looked for relatively cheaper alternatives within the precious metals space, accelerating silver’s gains.
Silver price today in India: city-wise rates
Physical silver prices across major Indian cities also moved higher, though rates can vary based on local taxes, logistics, and dealer premiums.
Delhi: Rs 2,19,000 per kg
Mumbai: Rs 2,19,000 per kg
Chennai: Rs 2,31,000 per kg
Despite the strong trend, reports from physical markets suggest some profit-taking at elevated levels, indicating heightened volatility.
What to watch next
Silver’s rally remains sensitive to global macro cues, particularly US monetary policy signals and movements in the dollar. While the broader trend continues to favour precious metals, sharp price swings are likely as markets digest record levels and year-end positioning.
With supply constraints and investment demand still in play, silver remains firmly in focus as one of the standout commodities of 2025.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Commodity prices are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
