Silver Soars to Record High, Gold Gains on Fed Rate Cut Bets

Precious metals markets witnessed a sharp rally as silver climbed to a record high, supported by strong investment demand and supply tightness. Spot silver rose 2.3% to $66.96 per ounce, ending the week 8.1% higher. Gold, meanwhile, gained 0.3% to $4,346.69 per ounce, marking its second consecutive weekly rise. Analysts note that cooling US inflation data has strengthened expectations for further interest rate cuts, boosting non-yielding assets like gold and silver. Central bank buying, ETF inflows, and geopolitical tensions have further enhanced safe-haven appeal. Traders are closely watching the Fed’s next policy move, with markets pricing in a possible cut as early as January 2026.  

Key highlights  
• Silver hits record high of $67.20 per ounce, up 8.1% weekly  
• Gold trades at $4,346 per ounce, set for weekly gain of over 1%  
• Cooling US inflation strengthens expectations of Fed rate cuts  
• Central bank buying and ETF inflows support precious metals demand  
• Geopolitical tensions add to safe-haven appeal  

Impact  
The rally underscores investor confidence in precious metals as a hedge against economic uncertainty, with silver’s outperformance signaling renewed interest in industrial-linked safe-haven assets.  

Sources: Reuters, Bloomberg, Economic Times, Yahoo Finance