Silver Prices Shine Again, Jumping 3% — More Upside Ahead?
According to analysts at Kotak Securities, the immediate upside level for MCX Silver futures for December is Rs 1,59,695, while support lies at Rs 1,56,063.
Silver prices recovered in domestic futures trade on Wednesday after witnessing losses for the three consecutive sessions, as traders indulged in value buying ahead of the release of US Federal Reserve's meeting minutes.
On the Multi Commodity Exchange, the white metal for December delivery climbed by Rs 2,556, or 1.8%, to Rs 1,57,433 per kilogram in a business turnover of 12,857 lots.
Similarly, the March 2026 contract jumped by Rs 2957, or 1.9%, to Rs 1,60,424 per kg in 5,515 lots.
In the spot trade, silver rose 3% to Rs 1,58,061.
According to analysts at Kotak Securities, the immediate upside level for MCX Silver futures for December is Rs 1,59,695, while support lies at Rs 1,56,063.
The highest upside projection is Rs 1,64,450 and the most bearish level is seen at Rs 1,51,308.
Silver futures for December delivery was trading 2.36% higher at $51.74 per ounce in the overseas markets. Other precious metals like gold, palladium and platinum also traded higher.
Fed policy will be under scrutiny when the minutes of the Oct. 28-29 meeting of the Federal Open Market Committee are released later on Wednesday. These could include insights into when it will begin growing its balance sheet through reserve management purchases. More liquidity in the financial system and a pivot to looser monetary policy will likely benefit precious metals.
The demand from global exchange traded funds for silver has risen. According to a Bloomberg report, ETFs added 2,62,480 troy ounces of silver to their holdings in the last trading session, bringing this year's purchases to 104.6 million ounces. This was the sixth straight day of growth, the longest winning streak since July.
The current market value of silver ETF holdings is nearly $42 billion.
