Silver Set to Rival Gold as Precious Metals Surge Amid Market Uncertainty

Silver is predicted to match or surpass gold's performance in the medium to long term, according to Motilal Oswal Financial Services. With silver prices expected to reach Rs 1,25,000 per kilogram, gold is also forecasted to soar, driven by safe-haven demand and geopolitical tensions.

Silver is poised to potentially rival or even outperform gold in the near future, according to forecasts by Motilal Oswal Financial Services Ltd. The firm anticipates silver prices to climb to Rs 1,25,000 per kilogram on the Multi Commodity Exchange and USD 40 per ounce on the COMEX within the next 12 to 15 months.

This robust prediction for silver follows an impressive 40 percent year-to-date increase driven by safe-haven demand and industrial usage. Gold, meanwhile, is also expected to ascend to Rs 81,000 per 10 grams in the medium term and Rs 86,000 in the long term in domestic markets, with COMEX prices forecasted to reach USD 2,830 and USD 3,000 respectively.

Analyst Manav Modi from Motilal Oswal highlights the year's significant rally in precious metals, attributing it to market uncertainties, anticipated rate cuts, and rising geopolitical tensions. He emphasizes that post-U.S. presidential election developments will be crucial in determining gold's course.

(With inputs from agencies.)