Silver exchange-traded funds (ETFs) surged sharply on Wednesday, mirroring a strong rally in silver prices, which jumped over 7% to all-time highs on the Multi Commodity Exchange (MCX) amid robust buying activity.
MCX March silver futures rose 7.52% to a record ₹3,83,100 per kg, while May futures climbed to ₹3,95,753 per kg and July contracts reached ₹4,14,446 per kg. The upward momentum in the metal was quickly reflected in silver ETFs, with Mirae Asset Silver ETF, Axis Silver ETF, Motilal Oswal Silver ETF, Zerodha Silver ETF, Aditya Birla Silver ETF, and Nippon India Silver ETF each gaining more than 6% during the session.
Analysts attribute the price surge to structural supply limitations, as silver is mainly a by-product of other metals and cannot be easily scaled up. Rising industrial demand from sectors like solar, electric vehicles, electronics, and emerging technologies, along with safe-haven buying during macroeconomic uncertainty and low or negative real yields, further supported the rally.
Trivedi noted that silver’s outlook remains bullish, and silver ETFs are likely to see continued strong inflows, following ₹234.7 billion in 2025, up from ₹85.69 billion in 2024. The ongoing price rally could also boost investment-related imports.
