Silver vs Gold: White Metal Outpaces Record-Breaking Rally in Gold Rates, Rising 40% So Far In 2025

When it comes to precious metals investment in 2025, the spotlight has shifted dramatically. While the gold rate in India today continues to soar and post record highs, it is silver prices in India that are stealing the show. The white metal has surged over 40% year-to-date (YTD), outperforming gold's 30% gains and making investors reconsider where to place their bets.

Silver Price in India Today

The silver rate in India today stands at Rs. 126,100 per kg, marking an all-time high in domestic markets. On the MCX (Multi Commodity Exchange), silver touched record levels this year before slipping slightly by 0.36%, currently trading at Rs. 122,198 per kg at the time of writing.

Globally, spot silver prices surged to $41.80 per ounce, their highest level since 2011.

Gold Price in India Today

Meanwhile, the gold rate in India today jumped sharply, crossing 1.06 lakh for 24-carat gold for the first time in history. At present, the 22-carat gold price is at Rs. 97,250, climbing by Rs. 200 per 10 grams, while the 24-carat gold price stands at Rs. 106,009 per 10 grams. Similarly, the 18-carat gold price increased by Rs. 160 per 10 grams to cost Rs. 79,570.

Globally, gold surged to just below its all-time record of $3,500 per ounce due to a weaker US dollar and massive safe-haven demand amid global economic tensions.

Why is Silver Outperforming Gold in 2025?

The silver rally of 2025 has been fuelled by many powerful factors, the first one being the industrial demand, as nearly 59% of global silver consumption comes from industries such as solar panels, electric vehicles (EVs), and electronics, sectors that are expanding rapidly.

Secondly, silver supply from mining has not been able to keep up with the fast-rising demand, creating fears of a shortage in the market, reports said.

On top of everything, the macroeconomic uncertainty is pushing silver prices higher. Inflation risks and global trade tensions between the US, China, India and other major economies, along with the expected US Fed rate cuts decision upcoming in September, have all pushed investors toward precious metals.

Gold in the international bourses is nearing $3500, as per Kitco.

A report from IBJA notes, "Silver surged above $40 an ounce for the first time since 2011, and gold approached an all-time high as the prospect of Federal Reserve rate cuts gave fresh impetus to the multiyear bull run in precious metal markets. Spot silver rose as much as 2.6% to $40.7599 an ounce, taking gains this year to about 40%, while gold jumped as much as 1.2% to just below its April record above $3,500 an ounce. Gold hit a record Monday in a London Bullion Market Association auction. Both metals have more than doubled over the past three years, propelled by mounting risks in the spheres of geopolitics, business, and global trade. The latest leg of the rally has been fuelled by expectations that the US central bank will reduce interest rates when officials gather for their next meeting later in September, with a key US jobs report this Friday likely to add to signs of an increasingly subdued labour market-supporting the case for cuts."

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