December 17, 2025 — Silver surged to new all-time highs on Wednesday, powering past $65 an ounce for the first time as investors piled into precious metals on a potent mix of tight physical supply, heavy industrial demand, and renewed bets that interest-rate cuts are coming after softer U.S. labor-market data. Gold climbed alongside silver, while platinum and palladium extended a “white metals” rally that has gathered pace into year-end. [1]
Silver’s move is remarkable not just for the headline price, but for what it says about today’s market structure: the demand story is no longer only about safe-haven buying—it’s also about the metal’s expanding role in industrial supply chains and the growing sense that available inventories are not as deep as traders assumed.
Silver jumps to a record $66.52, then steadies near $65.91
In spot trading, silver hit a record intraday high of $66.52 per ounce, then traded around $65.91 (up about 3.3% on the day at the time of reporting). The rally has pushed silver’s 2025 gain to roughly 128%, far outpacing gold’s already-historic run. [2]
That momentum built quickly over just the last 24 hours. A day earlier, Fortune’s “current price of silver” check had silver around $63.37 per ounce (8:30 a.m. ET on Dec. 16), underscoring how fast this market is moving and why volatility remains elevated. [3]
Gold rises with silver as rate-cut expectations return
Gold also strengthened as traders reassessed the interest-rate path:
- Spot gold: about $4,318.99/oz
- U.S. gold futures: about $4,348.10/oz
Both were up roughly 0.4% at the time of reporting. [4]
Precious metals tend to benefit when markets anticipate easier monetary policy because non-yielding assets like gold and silver look more attractive when interest rates are falling (or expected to fall).
The macro trigger: U.S. unemployment rises to 4.6%
The immediate catalyst Wednesday was a shift in macro sentiment after fresh U.S. jobs data suggested a cooling labor market:
- Nonfarm payrolls: +64,000 jobs in November
- Unemployment rate:4.6%, the highest since September 2021 [5]
At the same time, traders are looking ahead to the next inflation clues that could shape the Federal Reserve outlook, with CPI due Thursday and PCE due Friday. [6]
Why this matters for silver and gold: when unemployment rises, investors often reassess growth expectations and the risk of policy easing—conditions that can amplify demand for precious metals.
Why silver is outperforming gold in 2025
Silver’s breakout is not just “gold, but more volatile.” It has a distinct set of fundamentals that are coming into sharper focus as prices hit records.
1) Silver is increasingly treated as a strategic industrial input
A key difference from gold: silver’s demand is heavily tied to manufacturing and the energy transition. BullionVault notes that nearly 60% of annual silver demand is now tied to industrial uses, reinforcing the “metal of electrification” narrative behind the rally. [7]
2) The U.S. has formally put “critical mineral” language around silver
Silver’s “critical” label isn’t just a talking point. The U.S. Geological Survey (USGS) has said the final 2025 List of Critical Minerals adds silver among new additions, reflecting concerns about supply-chain resilience and strategic importance. [8]
That policy backdrop can influence everything from investor perception to longer-term industrial planning—and it has become part of the story traders tell about why silver is being repriced.
3) Speculation is rising—especially in options
Reuters quoted market commentary indicating that silver has become a more active target in options-driven speculation, but importantly, that speculative flows are aligning with a fundamental story of tight supply and strong demand. [9]
The market-structure story: COMEX and Shanghai trading spikes
One of the most telling signals in this rally isn’t a single headline price—it’s how aggressively traders are repositioning in derivatives markets on both sides of the Pacific.
BullionVault reported:
- A surge in COMEX silver futures and options volume to levels rarely seen in recent years (with only a handful of days exceeding it since 2020). [10]
- A jump in Shanghai Futures Exchange (SHFE) silver turnover to the highest level since May 2024. [11]
- The large silver ETF SLV expanded slightly and reached its largest size since July 2022, pointing to renewed investor appetite for silver exposure through exchange-traded products. [12]
Taken together, those signals suggest something bigger than a one-day pop: both speculative and investment demand appear to be chasing a market that already looked tight, which can intensify price swings.
Platinum hits a 17-year high; palladium climbs as “white metals” surge
Silver wasn’t alone.
- Platinum: about $1,927.35, the highest in more than 17 years
- Palladium: about $1,638.96, a two-month high [13]
Reuters commentary tied part of the “white metals” strength to expectations that the EU could move away from a strict 2035 internal combustion engine ban framework—an issue closely watched because of the role platinum-group metals can play in vehicle emissions systems. [14]
Geopolitics adds another tailwind: Venezuela moves lift oil, boost hedging demand
Beyond macro data, markets also digested fresh geopolitical risk after the U.S. president ordered a blockade targeting sanctioned Venezuelan oil tankers, a move that helped push oil prices higher and added to the broader “risk and hedging” mindset in markets. [15]
While silver’s rally is primarily a supply-and-demand story, geopolitical stress can reinforce safe-haven behavior, which tends to support precious metals broadly.
What happens next: 3 near-term catalysts to watch
With silver at record highs, the next moves may depend as much on macro and positioning as on physical supply headlines.
- U.S. CPI (Thursday) and PCE (Friday): inflation surprises could reshape rate-cut expectations quickly. [16]
- Central-bank decisions in Europe and Japan: global rate expectations influence currencies and real yields, both key inputs for precious metals. [17]
- Volatility and profit-taking: record highs often bring sharp pullbacks as traders lock in gains—especially in a market as historically swingy as silver.
Prices mentioned reflect spot/futures levels cited in source reporting during Dec. 17, 2025 trading and may change rapidly.
References
1. www.reuters.com, 2. www.reuters.com, 3. fortune.com, 4. www.reuters.com, 5. www.reuters.com, 6. www.reuters.com, 7. www.bullionvault.com, 8. www.usgs.gov, 9. www.reuters.com, 10. www.bullionvault.com, 11. www.bullionvault.com, 12. www.bullionvault.com, 13. www.reuters.com, 14. www.reuters.com, 15. www.reuters.com, 16. www.reuters.com, 17. www.reuters.com
