Analysts Expect Silver to Outperform Gold by 2025
TD Securities commodity strategists forecast that silver will outperform gold in 2025. Silver has become a noteworthy investment vehicle this year in the commodity market, and analysts noted that strengthening economies in the U.S. and China in the second half of 2025 will increase demand. These factors are expected to tighten the surplus silver market and help reduce excess inventories.
According to the report, silver is projected to average around $36 by the end of 2025. This could push the gold-silver ratio to yearly lows, making silver a superior-performing commodity. Policies from the new Trump administration aimed at reducing inflation, climate issues, and tariffs are also seen as significant factors that will affect silver’s performance.
TD Securities analysts expressed that silver has substantial growth potential over the next year. They expect silver to be a standout investment in the entire commodity complex in 2024, with this trend projected to continue into 2025. The evolution of economic conditions and market dynamics will be critical for silver’s future performance.
These factors may contribute to an increase in investment opportunities offered by silver over the next year. Developments in the silver market promise exciting potential for investors while also bringing new risks and opportunities. Analysts expect silver to hold a significant place in the market during this period.
In the gold market, a more moderate rise is anticipated.
While TD Securities analysts predict silver could rise to $36 by the end of 2025, this represents a 20% increase from the current level of $29.6. The overall market forecast for gold in 2025 indicates that the precious metal will challenge the average band of $2,900, which suggests a 10% increase from the current price of $2,600.
On the other hand, it can be said that the year 2024 will be extremely positive for precious metals. Gold has risen by about 26% this year, marking its best annual performance since 2010. Silver has experienced a 24.5% increase year-to-date. Generally, silver has a more volatile market compared to gold, with a value increase of 46% throughout the year. However, in the last two months, recent sell-offs have led it to give back half its gains.