Silver Cheaper on New Year's Day 2026; Industrial Demand Drives Record Surge

• Silver prices became cheaper on January 1, 2026, halting a recent surge, though rates remain high in major cities like Chennai (₹2,56,900) and Delhi (₹2,38,900).
• The recent sharp surge in silver prices is primarily driven by a significant increase in industrial demand from sectors like solar panels, green energy, electric vehicles, and new technology.
• Expectations of US interest rate cuts have boosted the commodity market, attracting more investor interest towards silver.
• Concerns over a potential China silver export ban post-2026 are raising supply worries, further strengthening prices.
• Silver has outperformed gold in returns this year, experiencing a record surge in its price due to these combined factors.

Why It Matters: Silver saw a slight dip on Jan 1, 2026, but industrial demand and supply concerns fuel its record surge.