Société Générale analysts note that silver prices rose sharply in 2025, rising by almost 150%, and most industry analysts argue for mainly justifiable reasons.
Holiday volatility amplifies price fluctuations
“We expected the holiday period to see bouts of extreme volatility due to low liquidity, but prices were expected to rise over the holiday period. Specifically, in the previous CCA, we expected a 7% increase in silver prices before and after New Year 2026. So far, during this period, prices are currently up 14.5% despite a significant one-day pullback on Monday of this week.”
“Silver prices have seen a significant decline likely due to another increase in margin levels on the CME during a very illiquid period of the year, and positions are being adjusted, with initial margins jumping by $3,000 per ounce from $22,000 per ounce to $25,000 per ounce. This followed an increase on December 12, 2025, with a 10% increase in margins to the $22,000 per ounce level.
“Silver looks expensive when viewed linearly, and when viewed in logarithmic terms, it tells the same compound story that has been going on, in Silver’s case, for the past 25 years but the increase this year seems extraordinary, even in logarithmic form.”
(This story was corrected on 30 December at 08:35 GMT to say Silver prices rise sharply at the end of 2025 instead of Silver continues its historic rise until 2025)
