The price of %Silver is entering the year’s fourth quarter trading at its highest level in 12 years.
Spot silver is currently trading at $32.24 U.S. an ounce, its highest level since December 2012 when it was at $32.71 U.S.
Analysts say silver is benefitting from several catalysts and tailwinds right now, including the fact that it is both an industrial and precious metal.
Silver’s price has also been rising alongside gold and has gained 35% so far this year.
Interest rate cuts by central banks around the world, notably the U.S. Federal Reserve, have also helped to boost the price of silver heading into the fourth and final quarter of the year.
The current rally in silver is expected to continue into 2025 as demand accelerates in the industrial sector, where the metal is used to make everything from solar panels to vehicles.
Silver’s 35% year-to-date gain has outpaced the 29% increase in gold so far in 2024. However, while gold is currently trading at record levels, silver has yet to test new all-time highs.
The record price for silver is $48.70 U.S. per ounce, which was achieved on Jan. 18, 1980.
While it still has a way to go to test new highs, analysts aren’t ruling out silver hitting $50 U.S. an ounce over the next year if demand continues to gather momentum.