Silver Price Surge: Is ₹2 Lakh Now Within Reach for the White Metal?

Silver has emerged as the standout performer in the commodities market this month, outshining gold and edging closer to the crucial ₹2 lakh per kg mark on the Multi Commodity Exchange (MCX). Prices have already hit fresh highs near ₹1.93 lakh, driven by accelerating industrial demand, a softer US dollar and a series of strong technical breakouts.

Analysts say the current momentum is powerful enough to push silver toward the ₹2 lakh milestone in the coming sessions, provided global cues remain stable. While gold continues to trade firm, silver’s surge has been far more aggressive, supported by demand from solar, EV, electronics, semiconductors and other fast-growing industrial sectors.

Ponmudi R, CEO of Enrich Money, noted that global charts clearly show silver outperforming gold. “COMEX silver has broken above key channel resistance at $62, showing strong momentum due to industrial demand and dollar weakness,” he said. Holding above $62.5, he added, keeps upside targets toward $64 open, while the 20-EMA at $56.60 remains a key support.

Domestically, silver’s technical structure also remains bullish. “MCX silver has given a clear breakout above ₹1,93,000 with strong volumes. Sustaining above this level opens targets between ₹1,95,500 and ₹2,00,000,” Ponmudi said. He identified ₹1,84,000 and ₹1,78,000 as major supports if volatility rises.

The latest spike in precious metals followed the US Federal Reserve’s 25-bps rate cut—its third of the year. Fed easing typically weakens the dollar, boosting the appeal of gold and silver. Dr. Ravi Singh, Chief Research Officer at Master Capital Services, said sentiment across markets “turned lighter instantly,” pushing investors toward non-yielding assets.

Ross Maxwell of VT Markets added that the Fed’s policy shift signals a softer dollar ahead. “A weaker USD combined with lower interest rates reduces the opportunity cost of holding gold and silver,” he said. While gold benefits in such environments, silver gains an added push due to its heavy industrial use.

This industrial demand—especially from EVs, solar power and advanced electronics—has tightened global supply expectations, making silver a dual-benefit asset: both a safe haven and a high-growth industrial metal.

In India, the rally is further fuelled by a weaker rupee, festive-season demand and rising investor participation in silver ETFs. With prices now hovering just below the ₹2 lakh mark, the next few sessions will determine whether silver crosses the psychological threshold or consolidates.

For now, silver remains the year’s strongest performer, and unless global cues shift sharply, the ₹2 lakh target appears increasingly attainable.