UBS has forecast that silver could continue its strong upward trend into 2026 after posting one of its best performances among major commodities in 2025.
The Swiss bank said silver prices may reach $85 per ounce within the next three months if current momentum holds.
UBS strategists added that silver could potentially trade at triple-digit levels later in the year, marking a historic milestone for the metal.
The outlook challenges views from some market participants who believe the silver rally has already peaked.
In a recent research note, UBS raised its price targets for both gold and silver, signalling continued confidence in precious metals.
The bank now expects gold prices to climb as high as $5,000 per ounce by the end of the first quarter, according to the report.
Analysts at UBS said the same macroeconomic forces that supported silver in 2025 remain firmly in place.
These factors include sustained investor demand for hard assets amid economic uncertainty and geopolitical risks.
UBS also pointed to the gold-to-silver ratio as a key indicator supporting further upside for silver prices.
The gold-silver ratio could drop to 30-50 (as in the 1970s-1980s), with silver price potentially reaching triple-digits.
The report said.
The bank noted that a declining ratio historically signals periods when silver outperforms gold.
UBS highlighted recent Chinese export restrictions as another major driver behind its bullish silver outlook.
The report said these restrictions have increased fears of supply shortages in an already tight global silver market.
Supply-side pressures are being compounded by long-standing production challenges across major silver-producing regions.
UBS analysts said these constraints could limit the industry’s ability to respond quickly to rising demand.
Commerzbank analysts echoed the positive sentiment, citing geopolitical developments as additional support for safe-haven assets.
The bank pointed to ongoing instability in Venezuela as a factor driving renewed interest in precious metals.
Commerzbank said these conditions could provide further tailwinds for silver prices in the medium term.
Other market observers believe structural deficits in the silver market remain a critical long-term catalyst.
Analysts noted that years of underinvestment in mining capacity have left supply vulnerable to demand shocks.
Some experts argue that industrial demand for silver continues to rise alongside green energy and technology sectors.
These uses include solar panels, electronics, and battery technologies, which rely heavily on silver inputs.
Market strategist Jim Rickards recently warned that silver’s next move could be sharp and rapid.
Silver’s price move might be explosive.
Jim Rickards said.
Rickards added that silver could reach as high as $200 per ounce as banks accumulate assets viewed as resistant to confiscation.
He linked this trend to growing concerns over unilateral sanctions imposed by the US government.