Silver prices jumped on Thursday morning as futures rose sharply above $36 per troy ounce reaching the highest level in more than 13 years. The last time silver traded this high was in early 2012. Silver futures gained over 4% and now show a year-to-date increase of more than 20%. Although gold has rallied more with gains around 25% this year silver is rapidly narrowing the gap. The price of gold stayed flat on Thursday while silver moved up strongly.

Industrial Demand And Tight Supply Push Silver Higher

Silver is widely used in industrial products especially in clean energy sectors like solar panel manufacturing. Analysts say that demand for silver has been outpacing supply since 2024. The Silver Institute recently reported that the supply of silver was about 15% less than demand last year and predicts another shortage for 2025. Investors now see silver as both a useful material and a safe haven asset. The market momentum is also supported by broader economic concerns that often push buyers toward precious metals. 

“Silver’s price movement reflects a combination of strong industrial demand and long-term investor confidence in precious metals,” said a market analyst from New York.

Silver’s rally has drawn attention from both industrial users and financial investors. As markets watch inflation and geopolitical risk more closely silver could continue to perform well. If current trends hold silver might even surpass expectations by the end of the year.