Bank of America (BOFA) is envisioning a bright future for silver, with a bullish trend expected to carry on from the latter part of 2024 into 2025. Analysts at BOFA are foreseeing silver prices to soar to an average of $35 per ounce by 2026, a significant increase from the current spot price of $29.19 per ounce. This positive forecast is fueled by the anticipation of an end to central bank interest rate hikes and a surge in investments in precious metals. Additionally, there is a projected ripple effect from the gold market, with gold prices forecasted to hit $3,000 per ounce by 2025.
BOFA highlights that silver has lagged behind gold primarily due to weak industrial demand, but as the global economy shows signs of improvement, silver is expected to pick up steam. The introduction of the next generation of solar panels that utilize more silver is anticipated to provide further support, potentially attracting more investors and setting off a cycle that could drive prices even higher.
