Silver prices surged past $35 per an ounce on Thursday, buoyed by currency weakness, industrial appetite and safe-haven flows, with analysts suggesting the rally may not be over yet.Silver prices crossed the $35 mark per ounce and hit their highest level since March 2012, lifted by a mix of factors including a weaker US dollar, geopolitical tensions and robust industrial demand, according to experts quoted by ANI.“With the trust in dollar decreasing, silver appears to be a good avenue for money to move to, and the gold-silver ratio was recently above 1.10, so the only way forward was either silver prices rise or gold prices fall. And that’s what has happened — silver has risen far more than gold,” said Mrinesh Jain, Director, Bombay Bullion Metal Hub LLP.The gold-silver ratio, which shows how many ounces of silver are equivalent to one ounce of gold, is often used to analyse future market trends based on historical relationships between the two metals.The dollar weakened across the board after US private payroll data came in below expectations, signalling further softening in the labour market. In addition, data showed the US services sector contracted for the first time in about a year during May.Silver generally moves in the opposite direction of the US dollar. When the dollar weakens, silver prices tend to rise — and when it strengthens, silver often falls.In addition to its monetary appeal, silver plays a vital role in industrial applications. It is used in electronics, solar panels, electric vehicles, medical devices, water purification, catalysts, mirrors and semiconductors, owing to its superior electrical, thermal and antibacterial properties.The recent rise in demand for clean energy and advanced technologies has further driven interest in the metal, extending its appeal beyond traditional segments such as jewellery and coinage.Silver is also known to benefit from safe-haven demand during periods of economic or geopolitical volatility, much like gold.On the geopolitical front, a notable development came as US President Donald J. Trump announced a visa ban for international students planning to begin studies at Harvard University. He also signed an executive order restricting travel to the US from 19 countries, citing national security risks, according to the White House.“While silver is well-positioned to test further highs — possibly reaching Rs 1,30,000 per kilogram later this year,” said Ajay Kedia, Director at Kedia Commodities, Mumbai. “Silver continues to reflect the dual narrative of a monetary hedge and an industrial growth story,” he added.
