Mumbai: Silver prices continue to rise post Diwali, as the cheaper cousin to gold has seen its value skyrocket from about ₹95,700/kg in 2024 to more than double that this year. Many long-term investors, wary of investing in overvalued stocks, have turned their attention to the poorer cousin of gold, considering its relative affordability and the hedge it provides for stable growth/
Though there was a slight drop in silver prices post Diwali, dropping to ₹1,72,000/kg from an all-time high on October 15, the demand for silver has remained steady, even after the seasonal surge in demand for the festive season.
Such has been the demand this year that Silver ETFs have had to pause new investments in their schemes, amid concerns of a price crash.
But that was in October 2025. Since then, demand for silver has continued to rise, mainly on the back of increased industrial demand, especially from emerging and high-growth electronics, solar panel, and EV sectors. Supply, however, remains constrained due limited mining activity.
On the other hand, gold prices have grown modestly, rallying 60% this year, as against silver. In the last three months, gold prices have gained 25%, compared to more than 40% rise in silver prices during the same period.
“Silver price surge reflects tight supply, expanding solar and electronics demand, and a supportive interest-rate backdrop. These forces may keep silver ahead of gold in 2026, though gains could be uneven as industrial use leaves it sensitive to any slowdown,” Jigar Trivedi, Senior Research Analyst at Reliance Securities told Livemint.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
