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Silver prices soared to an all-time high on Thursday (December 11), reaching $64.31 per ounce. The precious metal has seen a remarkable increase of over 115% this year, starting January below $30 per ounce. This recent surge includes a rise of more than $14 per ounce since November 20.
The sharp increase in silver prices is attributed to a combination of factors. According to Forbes, a global supply squeeze and expectations of another interest rate cut by the Federal Reserve have played significant roles. The Federal Reserve's decision to lower interest rates by a quarter-point has contributed to a weaker U.S. dollar, making precious metals like silver more attractive to investors.
Furthermore, silver was recently added to the U.S. Geological Survey’s list of critical minerals, signaling potential risks from disrupted supply chains. This has heightened investor interest, as noted by Investing News.
Silver's previous all-time high was $49.95, set in January 1980. The recent price surge surpasses this record, reflecting strong investment demand and market dynamics. As the year progresses, investors are closely watching to see how high silver prices can climb.