Silver prices soared 5% in early trading on Monday, reaching a record high amid a powerful rally in gold and tightening liquidity across global markets. Silver futures in New York hit $49.63 per ounce, while spot gold rose 2.7% to $51.66 per ounce, reflecting heightened investor appetite for precious metals as monetary easing and geopolitical uncertainty persist.
According to Goldman Sachs analysts, silver continues to benefit from private investment inflows similar to those supporting the gold market, especially as the Federal Reserve’s rate cuts reinforce demand for alternative assets. However, the bank cautioned that silver’s smaller and less liquid market exposes it to greater short-term volatility and downside risk compared to gold.
Adding to the bullish undertone, silver lease rates — the cost of borrowing physical silver — have surged over 35%, signaling strong demand and tightening supply. Market participants are reportedly paying record premiums to secure immediate access to the metal, underscoring a scarcity of silver bars in London vaults.
In parallel, platinum futures climbed 3.3% to $1,676.90 per ounce, tracking the broader uptrend across the precious metals complex. Analysts note that the synchronized movement in gold, silver, and platinum highlights a system-wide shift in investor behavior, with traders favoring tangible assets amid rising inflation concerns and global financial volatility.
