Fed's Rate Cut Expectations Boosted Silver

The Silver Star Shines in Global Markets

As the search for safe havens continues in global financial markets, silver is once again drawing attention. However, gold still maintains its strong haven status; at this point, investor interest is shifting towards silver, which presents a more active and volatile appearance. Geopolitical risks and signs of stagnation are directing investors towards precious metals.

High Gains of Up to 90% in Silver

Since the beginning of the year, a %90 increase in the price of silver has been observed. Silver prices have climbed above $54 last month, progressing towards reaching an all-time high. This precious metal recorded a 13% increase in just one week, sparking wide interest among investors.

Fed Winds and Low Interest Rate Environment

The weak performance of unemployment data in the U.S. has strengthened expectations that the Fed will implement interest rate cuts, while the low interest rate environment makes precious metals with no yield more attractive. Another factor influencing the rise of silver is the increasing demand in renewable energy sources and the electronics sector. This demand is creating concerns regarding supply in industries that use silver.

Silver Rally and Comparison with Gold

Analysts indicate that while silver is rising rapidly, gold has shown more cautious growth. Gold reached $4,230 this week, marking a three-week high. However, the performance of silver since the beginning of the year is recorded as a rare silver rally.

Rise of Silver: Future Expectations

Experts predict that silver prices may reach the $60 range by 2026. The reasons for silver's rise include increased industrial demand from electric vehicles and solar panels, as well as a decline in mining investments. The Fed’s monetary policy shift and falling bond yields are among the factors likely to positively affect silver's future performance. It is noted that declines present buying opportunities for investors.