Silver prices have experienced a notable surge amidst the ongoing global trade tariff war. Over the past month, the price of silver has risen by 5.59%, marking an almost 25% increase compared to the same period last year. According to Kitco Metals, this upward trend shows no signs of slowing down. The financial research platform Seeking Alpha suggests that the recent correction in silver prices following tariff news has created a strong buying opportunity, with technical and fundamental factors aligning for further gains.
Data from FXStreet indicates substantial inflows of silver into exchange-traded funds (ETFs) during the first half of 2025, surpassing the total inflows for all of 2024. Approximately 95 million ounces of silver flowed into ETFs globally in those six months, bringing total fund holdings to 1.13 billion ounces, as reported by the Silver Institute. These trends suggest increasing investor confidence in silver as a valuable asset.
Meanwhile, the World Gold Council (WGC) remains optimistic about gold’s performance. Gold experienced a record-setting 26% increase in the first half of 2025, driven by a weaker US dollar, stable rates, and economic uncertainty, leading to strong investment demand. The WGC suggests that while some of these factors are expected to continue, gold’s future performance hinges on trade tensions, inflation, and monetary policy.
The WGC anticipates a relatively steady finish for gold with moderate upside potential, provided macro conditions hold. They also note that new institutional investors, such as Chinese insurance companies, could provide partial support for gold. A more volatile geopolitical and geoeconomic landscape could significantly boost gold prices, especially if stagflation or recession risks materialise, and investors seek safe haven assets.
