NEW YORK, Jan 25, 2026, 12:35 EST — The market has closed.
Silver closed last week above $100 an ounce, pushing further into a rally that’s drawn in retail and momentum buyers amid a market already strained for physical supply. On Friday, spot silver climbed 5.1% to $101 per troy ounce. Demand remains strong from sectors like jewellery, electronics, and solar panels. 1
The rapid surge stands out because it’s been one-sided and swift, raising red flags among chart-watchers about potential sharp reversals once buying momentum fades. “Silver is in the midst of a self-propelled frenzy,” StoneX analyst Rhona O’Connell noted, as silver’s rally pushed the gold-silver ratio — which measures how many ounces of silver equal one ounce of gold — down to around 50. 2
Macro markets found a boost heading into the weekend, as a weaker U.S. dollar gave gold and silver room to rally, even with risk appetite holding steady. Silver jumped 2.8% to $98.88 early Friday, while gold notched another record high as investors sought refuge. 3
Supply-side challenges persist as traders and refiners wrestle with how fast metal can be reintroduced to the market. Recycling accounts for roughly 20% of the annual global supply, yet a lack of high-grade refining capacity has delayed scrap processing. At the same time, London vault inventories are still far short of the highs reached during the retail-fueled spike in early 2021. 4
Silver funds listed in the U.S. followed the rally late Friday. The iShares Silver Trust (SLV), a leading physically backed fund, closed at $92.91. According to iShares, the trust holds roughly 517.3 million ounces of silver and manages around $51.2 billion in net assets. 5
SLV surged 6.63% Friday on heavy volume, offering traders a liquid way to play silver as the metal topped the $100 mark. 6
Some analysts say the rally owes as much to positioning as to fundamentals. Philip Newman, director at Metals Focus, noted that “silver should continue to benefit from many of the same forces supporting gold investment demand,” citing tariff worries and tight liquidity in London’s market. 7
The rapid pace of gains has left the market fragile, with traders on edge for signs of profit-taking and shifts in inventory flows. Bank of America strategist Michael Widmer pegged a “fundamentally justified” silver price near $60. Meanwhile, BNP Paribas strategist David Wilson warned that profit-taking could come “sooner rather than later” as physical market pressures ease. Comex inventories, after a sharp drawdown, were last reported at 418 million ounces. 8
The Federal Reserve’s two-day policy meeting on Jan. 27-28 is the next major event to watch, with the decision and press conference set for Jan. 28. A surprise move on rates or any shift in the Fed’s tone on inflation and growth could shake the dollar and put silver’s ability to stay above $100 to the test once full trading kicks back in. 9
