The silver price has recently reached a 13-year high, which represents a significant development for private investors and savers. The Silver Future on the COMEX rose last week by 5.22% to $39.075 per ounce, marking the highest level in over 13 years.
Influences on the Silver Price
This surge is significantly fueled by political tailwinds: the new U.S. tariff policy with high tariffs on Canadian imports (35%) and blanket tariffs of 15-20% on other trading partners has created uncertainty regarding economic policy stability. This leads to increased confidence in safe assets like silver and gold.
Seasonal Factors and Market Demand
Seasonal factors also support the upward trend through the end of July; historically, August often sees interim corrections, but the long-term positive development remains intact. Furthermore, there is strong demand from institutional investors: large traders continue to hold over 58,000 contracts long positioned despite a slight reduction, underlining confidence in further upward trends.
The Role of Metals and Investment Decisions
The commodity boom affects not only silver but also other metals such as copper and palladium, with silver realizing its catch-up potential by breaking through a long-standing resistance at around $35. Analysts consider price targets initially ranging from $40 to about $50 to be realistic.
For private investors, this rally means:
- Rising commodity prices can influence investment decisions.
- Silver presents an attractive alternative to traditional currencies or stocks.
- Political uncertainties increase the appeal of tangible assets.
- Short-term fluctuations are possible, but a positive long-term trend remains.
These developments make the current increase in silver particularly relevant for investors looking to diversify their portfolios or seek inflation-protected values.