Due to ongoing trade policy uncertainties and geopolitical tensions, silver has surged to a 14-year high on global markets and reached an all-time high on Indian domestic markets. The precious metal recently achieved a decisive technical breakout, trading above the key level of $37.5 per ounce.

In the first half of 2025, global investment in silver has increased sharply. This uptrend has been fueled by a combination of geopolitical uncertainties—including regional conflicts and unstable trade agreements—and economic concerns such as persistent inflation fears and currency volatility. Investor sentiment has also been strengthened by strong price expectations and silver’s reputation as a reliable hedge against economic and political risk.

In June, this wave of demand pushed silver prices to a 13-year high, marking a significant milestone for the metal. Over the first six months of the year, silver prices recorded an impressive rise of 25%, nearly mirroring gold’s 26% gain over the same period. Earlier in the year, the gold-to-silver ratio was at historically high levels, making silver look undervalued relative to gold and prompting fresh buying from institutional and retail investors alike.

Beyond investment-driven demand, positive developments in industrial metals also played a role in silver’s rally. Renewed trade negotiations between the United States and China improved market sentiment, leading to expectations of stronger industrial demand for silver in electronics, photovoltaics, and other sectors. This combination of financial investment and anticipated industrial use has reinforced silver’s upward momentum in global markets.

Overall, silver’s performance in the first half of 2025 reflects its dual role as both a precious metal and an industrial commodity, benefitting simultaneously from safe-haven demand and optimism about global manufacturing recovery. If these trends continue, analysts suggest silver could see further gains in the second half of the year.

• President Donald Trump indicated plans to impose blanket tariffs of 15–20% on the majority of foreign trading partners and declared a 35% tariff on Canadian goods beginning August 1. Additionally, President Trump announced this week in a letter to Brazil that the nation will be subject to a 50% duty on commodities imported into the United States.
• Concerns about longer-term inflation expectations were also aroused by Trump’s demand for a 300-basis point reduction in the Fed funds rate, which stoked rumours of a dovish Fed nominee the following year. Markets have priced in two rate cuts this year, but rate futures indicate that a hold is likely to be agreed upon at the next meeting.

Technical Triggers  

• Gold continues to trade in the range of $3300 (~Rs 96250) and $3400 (~Rs 98500). If prices sustain below $3280 (~Rs 96000), weakness could further extend to $3200 (~Rs 94000).
• Silver has given a breakout of its range of $37.5 (~Rs 108,500) and $35.5 (~Rs 105,000). The next target is $38 (~Rs 111,000) and $40 (~Rs 115,000).

Support and Resistance

In India, platinum jewellery continued to grow despite wider market challenges, including record-high gold prices and the seasonal slowdown at the end of the financial year in March. PGI’s top 15 strategic partners in India posted an average year-on-year platinum sales growth of 7%, supported by in-store activations, digital campaigns such as Platinum Love Bands, and celebrity-led marketing.

China delivered the strongest performance, with platinum jewellery fabrication rising 50% year-on-year in Q1, significantly outperforming gold and diamond categories. The surge was driven by both plain and gem-set platinum jewellery, as jewellers shifted away from gold amid high prices and sluggish diamond demand. PGI reported the opening of over 40 platinum-dedicated wholesale showrooms and the conversion of several gold production lines to platinum. Retail sales rose 16% year-on-year, prompting calls for stronger marketing and new product offerings to sustain demand.

In the UAE, platinum jewellery retail sales grew 25% year-on-year. Platinum now has a presence in 136 stores across the GCC, with PGI’s focused partnerships and campaigns helping to expand the category’s footprint, particularly among South Asian communities.

Japan saw platinum jewellery outperform the broader market for the sixteenth straight quarter. Unit sales rose 1% year-on-year in Q1, driven by discount stores, department stores, and non-store channels. Pendants, necklaces, Kihei chains, and affordable platinum pieces remained in demand.

In the United States, platinum jewellery unit sales rose 19% year-on-year among PGI’s strategic partners, with revenue up nearly 24%. Wedding bands and fashion jewellery led the gains, and some retailers continued to convert inventory from white gold to platinum.

“As consumers increasingly seek meaningful, high-quality pieces at accessible price points, platinum is gaining ground not just in China, but also in key markets such as India, Japan, the United States and the United Arab Emirates,” said Tim Schlick, CEO, PGI. “PGI’s strategic partnerships remain at the heart of this growth story, helping to build lasting consumer connections with platinum.”