As we head into the fourth quarter, silver prices are demonstrating notable resilience, with a year-to-date increase of 44% and recently peaking on the December futures at $43.43/oz. We analyzed some of the main drivers and increased our Q4 year-end forecast from a range of $42-44 to $44-46, with a $50 price outlook in Q1 2026.
Silver ETF Chart
The outside market backdrop continues to show broadening strength, with all four major stock indices reaching record highs for the first time since 2021, which plays a significant role in shaping the sentiment of the precious metals market. This renewed market confidence fuels investor flows into ETFs, where total gold and silver holdings by ETFs have increased by 14% and 13% year to date. Get the Blue Line Futures Precious Metals Chart Pack today by registering here: Get Precious Metals Chart Pack
Silver ETF Grid
Looking ahead, we anticipate continued optimism due to a projected shift in the economic environment from stagflation to reflation. While we expect gold to continue to reach our Q4 and year-end target of $3950/oz, the economic shift is expected to create a more favorable landscape for industrial metals. With renewed demand driven by both industrial applications and investment interest, silver is well-positioned to benefit from these trends. We anticipate the outperformance of silver over gold to drive the gold/silver ratio back below 80:1 by year-end.
Daily Silver Chart
Example Silver Options Strategy
We firmly believe that a "Commodities Supercycle" is currently underway, and silver is now facing its fifth consecutive year of deficit, with a potential squeeze underway. To prepare we are constructing long-dated call spreads in the Silver market for our clients.
For example purposes, one could purchase the January 2026 Silver futures $47.00 call option while selling a January 2026 Silver futures $50.00 call against it. The plan will create a calculated risk Bull Call spread and costs $2,500 plus any commissions and fees, while your maximum gain would be $15,000, less your initial cost, if silver futures close above $50.00/oz at expiration on December 23, 2025. We believe this strategy achieves a low-risk high reward profile. Staying ahead of the Silver market has never been easier. To receive our 2025 Silver Special Report and learn about the five key factors that could drive silver prices up to $50 an ounce by year-end, you can sign up here:Get the 2025 Silver Special Report
