COMEX Silver futures broke out today, hitting near $34 per ounce mark amid awesome strength as worries over a physical shortfall in global markets propped up the metal. The commodity has seen excellent gains after surpassing $30 per ounce mark in last week of January and is currently up 3.80% at $33.98 per pound. This is the highest level in last three and half months for the metal. Silver has been well supported since the start of this month after Silver Institute noted that world silver market is forecast to record another significant deficit for the fifth consecutive year in 2025. Silver industrial demand will remain the key driver of this favorable supply/demand backdrop, with volumes projected to hit a new record high this year, it stated. Firm cues from Copper market also boosted the counter. MCX Silver futures followed global cues and are up 2.77% at Rs 97873 per kg.
Meanwhile, media reports noted today that banks in South Korea are halting the sales of silver bars amid surging demand, driven by increasing global uncertainties following US President Donald Trump’s tariff threats. Korea Minting and Security Printing Corp. halted its supply of gold bars to banks on Wednesday. The Korea Gold Exchange had already suspended bank sales of 10-gram and 100-gram gold bars since October while continuing to sell 1-kilogram bars. Now, with silver bar prices also soaring, the exchange notified banks of the suspension of silver bar supply on Thursday. It also noted that the remaining stock of 1-kilogram gold bars would no longer be available.