Silver Surges to Record High
Silver extended its rally, approaching a record $55 per ounce amid mounting supply concerns and growing expectations of further Federal Reserve rate cuts. Chinese inventories have dropped to their lowest level in a decade following heavy shipments to London triggered by a supply squeeze, while China’s silver exports surged to an all-time high of more than 660 tonnes in October. On the policy front, markets now assign roughly an 85% probability to a third Fed rate cut in December, with three additional cuts anticipated by the end of 2026. Expectations have been reinforced by reports that White House National Economic Council Director Kevin Hassett is the leading contender for the next Fed chair, a choice seen as aligned with President Donald Trump’s preference for lower rates. Since October, silver has repeatedly tested record highs as global economic uncertainty, the prospect of looser monetary policy, and tightening physical supply have continued to strengthen demand.