As 2026 begins, silver prices are holding above the $73 mark after an extraordinary year that reshaped the market. In 2025, prices surged by nearly 148%, marking the strongest annual performance ever recorded. This historic rally was underpinned by silver’s designation as a critical mineral, tight availability, and a sharp rise in industrial usage, all of which significantly lifted underlying demand.

Investment sentiment has been further supported by shifting expectations around interest rates and the introduction of new trade tariffs. As markets increasingly anticipate a more accommodative monetary environment, silver has benefited from stronger capital inflows. Ongoing geopolitical uncertainties have also reinforced its appeal as a reliable safe-haven asset during periods of global instability.

The rapid price appreciation in 2025 saw the metal break through multiple long-standing milestones, driven by shrinking inventories, constrained supply conditions, and expanding demand from both industrial users and investors. Its strategic importance to the United States has further amplified interest and strengthened price support. Policy and geopolitical developments continue to play a central role in shaping the outlook.

Elevated U.S. trade tariffs and growing expectations of future Federal Reserve rate cuts have added to bullish momentum. Recent Fed meeting minutes point to an increasing openness toward easing policy if inflation continues to moderate, although divisions remain over timing and scale. At the same time, heightened geopolitical risks — including tighter U.S. measures on Venezuelan oil exports and renewed Russia-Ukraine tensions affecting Black Sea infrastructure — have further enhanced silver’s status as a preferred defensive asset.