Silver prices fell 1.28% to ₹1,11,486 on a stronger US dollar. The latest US inflation (CPI) data came in close to expectations, suggesting that the US Federal Reserve is likely to cut interest rates soon.
Core CPI rose 0.2% month-on-month and 2.9% year-on-year — both marginally lower. Headline CPI rose 0.3% month-on-month and 2.7% year-on-year,
While silver prices temporarily eased, its fundamentals remain strong. Silver ETFs attracted ₹39.25 billion in inflows in the April-June quarter — more than gold. Total holdings in silver ETPs worldwide rose to 1.13 billion ounces as of June 30 — just 7% below their peak in February 2021.
In India, retail investment rose 7% in the first 6 months of 2025, on expectations of future price increases. Silver imports rose 431% in May, while gold imports fell — indicating high physical demand for silver. Industrial demand is a major source of silver. Green energy applications Global silver production is expected to increase by 3% in 2025 to exceed 700 million ounces.
