Silver shines brighter at Rs 165/gram, up by 20% in a month
Once considered to have poor resale value compared to gold, silver is increasingly being treated as an investment option. Jewellers are also reporting brisk sales of gold-plated silver ornaments, which appeal to a wider base of buyers.;
CHENNAI: Silver is witnessing a sharp rally this year, recording a 70 per cent rise since January. Priced at Rs 97 per gram on January 1, the white metal touched Rs 165 on October 4. From September 4, when it stood at Rs 137, it surged by Rs 28, marking a historic uptick by 20 per cent in a month.
"Gold and silver are like siblings. When gold prices move north, silver follows. In addition, demand for silver jewellery has surged, especially from customers who see it as a more affordable alternative to gold. Handmade designs are particularly popular, and now almost every gold pattern is replicated in silver," said B Sabarinath, president, Tamil Nadu Jewellers Federation.
Once considered to have poor resale value compared to gold, silver is increasingly being treated as an investment option. Jewellers are also reporting brisk sales of gold-plated silver ornaments, which appeal to a wider base of buyers.
Sabarinath noted that making charges are proportionally higher for silver than gold due to its harder texture and longer crafting process. "Gold is softer and easier to mould. Gold prices are expected to cross Rs 1 lakh per sovereign by March 2026, while silver may exceed Rs 180 per gram. Interestingly, demand for gold has remained strong in recent weeks as customers are buying in anticipation of further price hikes," he said.
He linked the rally in gold to central banks holding more gold than US treasuries for the first time in three decades.