Silver price shoots above $42 for fresh 14-year high

[Ben Graham]

Silver extended its winning streak for a third straight session on Friday, as an increased likelihood of a Federal Reserve rate cut next week pushed the precious metal higher.

Spot prices rallied another 1.6% to surpass the $42/oz mark. Its intraday high of $42.46 was the highest since 2011.

Click on chart for live prices.

This takes silver’s weekly gains to over 3%, as a looming Fed decision on interest rates raised the prospects of non-yielding assets like silver.

The latest US jobs data pointing to an economic slowdown further cemented market-wide expectations that a 25-basis-point cut is on the cards.

“Weaker employment and spotty inflation … priced in with the Fed having to cut rates is pushing metals higher because there is the risk of longer-term inflation,” Daniel Pavilonis, senior market strategist at RJO Futures, wrote in a Reuters note.

Over a longer horizon, analysts see further room to run. A new report by Sprott builds a bullish case for precious metals, predicting a strategic shift away from the US dollar and Treasuries under the current environment and into hard assets.

In silver’s case, the case may be even stronger as the metal’s fundamentals are underpinned by powerful structural forces, namely a prolonged supply deficit and a tightening physical market.

In 2025, silver has risen by more than 43%, even surpassing that of gold, making it one of the best-performing assets of the year.