Silver prices in the local market recorded a sharp increase of 19.3% during last week’s trading, in line with strong gains globally, as silver rose by around 15% to reach an all-time high. The rally was driven by a weaker U.S. dollar and renewed demand for safe-haven assets, according to a report issued by the Safe Haven Center.
Locally, the price of 999 fine silver rose from EGP 145 to EGP 173 per gram, while 925 silver climbed to EGP 160 per gram. The price of 800 silver reached EGP 138 per gram, and the silver pound was priced at EGP 1,280.
Globally, silver opened the week at around USD 90 per ounce and closed at USD 103 per ounce.
Since the beginning of the year, silver has gained approximately 43% on global exchanges, marking its best performance since 1979, while local market gains reached about 38.5%.
The report noted that silver’s exceptional performance in 2025 included a 145% increase in local prices, representing a rise of EGP 74 per gram, alongside a 148% surge in global prices, equivalent to an increase of nearly USD 43 per ounce.
According to the Safe Haven Center, silver prices continued to rise locally, with 999 silver increasing from EGP 163 to EGP 171 per gram, 925 silver climbing to EGP 159, and 800 silver reaching EGP 137, while the silver pound was priced at approximately EGP 1,272.
On the global front, silver posted strong weekly gains of about 15%, closing at USD 103 per ounce—the highest level in its history—supported by elevated global risk aversion, renewed demand for defensive assets, and escalating political and economic tensions.
Silver has gained roughly 43% since the beginning of the month and more than 180% since the start of the powerful rally in the second half of last year, reaching levels that had been anticipated since that period.
Spot silver prices are heading toward a weekly gain of about 12%, following a similar rise the previous week. Despite the sharp and volatile price movements, many analysts believe current price levels are justified given the prevailing geopolitical and economic uncertainty worldwide.
The report noted that central banks are unlikely to turn to silver due to its close link to industrial activity. However, for institutions and retail investors, silver has emerged as an attractive option thanks to its relatively lower price compared to other precious metals. With the U.S. dollar no longer enjoying the same level of fundamental confidence, investors are increasingly turning toward alternative real assets.
According to the report, silver’s momentum is expected to continue, driven by sustained industrial demand, growing interest from retail investors and fear of missing out (FOMO), its appeal as a safe-haven asset, and a worsening supply deficit.
As gold prices have risen sharply, silver has stood out as a more accessible way to benefit from the precious metals boom. A price target of USD 120 per ounce is seen as a potential level in 2026, given the likelihood that the factors behind the current rally will persist.
Silver’s appeal as a safe haven remains intact amid ongoing geopolitical tensions, and no meaningful easing of supply shortages is expected—if any—particularly as green technologies such as solar energy, electric vehicles, and artificial intelligence continue to drive demand for the metal.
Despite the potential for further gains, analysts warn that silver’s rally carries notable risks. Due to the metal’s inherent volatility, prices can easily fluctuate by as much as 10% in a single day.
The report highlighted that the pace of gains has accelerated despite a relative easing of geopolitical risks following the de-escalation of the trade dispute between the United States and the European Union. However, renewed concerns emerged after U.S. President Donald Trump threatened to impose tariffs on eight European countries, coinciding with ongoing structural constraints on global silver supply, further tightening precious metals markets.
The U.S. dollar index posted its worst weekly performance since June, weighed down by the U.S. administration’s confrontational policies, including controversy surrounding Greenland. These developments have strained relations with key trading partners and weakened the image of the United States as a stable economic power, undermining the dollar’s status as the world’s reserve currency.
The report stressed that global supply shortages remain one of the key drivers of higher prices, limiting the market’s ability to meet rising demand amid challenges in expanding mining and processing capacity, thereby reinforcing upward pressure on silver prices.
Analysts believe that silver’s rise to record levels reflects a notable shift in investor behavior, as the metal is no longer viewed solely as an industrial commodity, but increasingly as an investment asset capable of hedging against uncertainty surrounding global economic growth and interest rate trajectories in 2026.
The report added that silver’s rally is part of a broader upswing across precious metals, fueled by renewed fears of a transatlantic trade conflict following rising political tensions between the United States and Europe, which has boosted demand for defensive assets.
Investors are also seeking protection against risks stemming from U.S. trade policy, rising public debt, and growing instability in the global political landscape.
According to the report, repeated attacks by the U.S. administration on the Federal Reserve have raised concerns about central bank independence, reinforcing what is known as the “currency debasement trade,” where investors favor gold and silver over currencies and government bonds, particularly amid ongoing pressure on the U.S. dollar.
In addition to tensions between Washington and its European partners, prolonged conflicts in Eastern Europe and the Middle East continue to keep geopolitical risks elevated, providing strong fundamental support for silver as a safe haven amid global economic and financial uncertainty.
Silver prices surpassed the USD 100-per-ounce level for the first time on Friday, supported by strong demand and aggressive retail buying from Shanghai to New York.
Some analysts argue that the current momentum is justified by escalating political and economic tensions and renewed selling of U.S. Treasuries by European institutions, reinforcing the shift toward real assets and supporting gold and silver even at elevated price levels.
Others, however, caution that continued price increases could negatively impact industrial demand, noting that current volatility levels may lead to sharp daily moves of up to 10%, making the market unsuitable for risk-averse investors.
The report concluded that gold and silver may experience a price correction at a later stage, though any potential pullbacks are expected to be limited and short-lived. It emphasized that periods of correction—rather than optimistic headlines—may offer better opportunities to rebuild investment positions.
White House Considers Establishing a USD 2.5 Billion Strategic Silver Reserve
In a move aimed at securing supply chains and reducing reliance on China, the White House is considering classifying silver as a strategic material. U.S. lawmakers from both parties have introduced legislation to establish a USD 2.5 billion strategic reserve for critical minerals.
According to the proposed bill, the reserve would support key U.S. industries—particularly defense, renewable energy, and advanced technology—by ensuring stable supplies of essential minerals used in these sectors.
Although the legislation refers broadly to “critical minerals,” silver is receiving growing attention within Washington’s policy circles due to its expanding role in solar panels, electronics, and military applications.
This initiative forms part of a broader U.S. strategy to shield the national economy from geopolitical shocks and counter China’s dominance in critical minerals markets, amid intensifying global competition for natural resources.
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