Silver Futures Soar to Record Highs: Will Rs 3 Lakh/kg Mark Be Breached Soon?

• March silver futures on MCX hit a new all-time high of Rs 2,87,990 per kilogram, with May and July expiries also reaching lifetime highs.
• The surge is attributed to US inflation data boosting hopes for Federal Reserve rate cuts, making non-yielding metals more attractive.
• Analysts like Justin Khoo and Nirpendra Yadav point to strong momentum from safe-haven demand, geopolitical risks, and industrial uses (solar panels, EVs, semiconductors) driving silver's rally.
• A multi-year supply deficit, where demand outstrips mine and recycled supply, continues to exert upward pressure on prices.
• While a move above Rs 3 lakh/kg is probable medium-term, short-term consolidation or volatility is expected due to the market being technically overextended.

Why It Matters: Silver futures are at record highs, driven by safe-haven demand and industrial use, with Rs 3 lakh/kg likely in medium-term.