Silver Price Hits Historic High: Surpasses ₹1.10 Lakh Per Kg, Should You Invest Now?

In a remarkable milestone for the bullion market, silver prices soared past the ₹1.10 lakh per kilogram mark on July 11, 2025, setting a new all-time high. The Multi Commodity Exchange (MCX) witnessed silver futures trading at ₹1,10,700/kg, while spot market rates climbed close behind at ₹1,09,900/kg. This surge is being attributed to heightened investor interest amid global economic uncertainty and increasing industrial demand.

Why Is Silver Soaring?

Silver’s meteoric rise is being supported by both domestic and international market dynamics. On the international front, silver prices moved up by 0.4%, reaching $37.17 per ounce. Back home, rising investor appetite for safer assets such as silver and gold, combined with a weaker rupee and geopolitical jitters, are fuelling the rally.

Rahu Kalantari, VP (Commodities) at Mehta Equities, noted that investor nervousness, especially due to former US President Donald Trump’s new tariff policies, has shifted focus toward safer investment options like bullion. With the dollar gaining strength, importing silver becomes costlier, further driving domestic prices higher.

MCX Resistance & Support Levels

According to Akshay Kamboj, Vice President of the Indian Bullion and Jewellers Association, “Silver is currently facing resistance at ₹1,10,700/kg on MCX, with a strong support zone around ₹1.08 lakh.” If prices sustain above this level, a new bullish trend may be established, drawing even more investors into the precious metals market.

What This Means for Investors

Silver’s rally isn’t just a short-term trend—it reflects a broader shift in investment strategy. Experts suggest that silver, being both a precious and industrial metal, offers dual advantages. During times of market turbulence, bullion such as silver and gold serve as a hedge against inflation and equity volatility.

Financial advisors are recommending including bullion in your investment portfolio. Ideally, 10–15% of your portfolio can be allocated to gold and silver. This strategic diversification helps in cushioning losses when stock markets experience sudden dips.

Silver’s Industrial Edge

Unlike gold, silver has strong industrial demand. It is widely used in solar panels, electronics, batteries, and medical equipment. As industrial production picks up pace globally, the demand for silver is expected to rise further—pushing prices even higher in the near term.

How to Invest in Silver

If you’re considering investing in silver, there are multiple options beyond physical bullion:

• Silver ETFs (Exchange Traded Funds): These are low-risk, liquid options to gain exposure to silver without dealing with physical storage.

• Silver Futures: Offered on platforms like MCX, these are ideal for more experienced traders.

• Digital Silver: Offered through fintech platforms and apps, allowing small-ticket purchases and easy tracking.

Several Silver ETFs are currently available in India, allowing both short-term gains and long-term holdings. With silver's industrial and investment demand expected to remain strong, these instruments provide an accessible and secure investment route.

Final Takeaway

The record-breaking rise in silver prices is more than a headline—it’s a signal of shifting global sentiment. With economic volatility, geopolitical tensions, and increasing industrial demand, silver is emerging as a reliable asset class for portfolio diversification.

If you’re considering entering the silver market, this may be the ideal time. However, like all investments, it’s wise to consult a financial advisor to assess your risk appetite and financial goals.