This commodity expert sees silver at ₹100,000 per kg by year-end

Kishore Narne, Head-Commodity and Currency, Motilal Oswal Commodity Broker believes silver has the potential to hit ₹1 lakh per kilogram by the close of the year.

“But Silver has a tendency to outperform itself in any scenario either downside or upside. So, we are expecting it to extend this rally to around ₹36-₹36.50 which will take it briefly above ₹1 lakh in Indian prices,” he says.

He sees the price hitting this target likely before August or by the end of this year.

Metal prices are seeing a sharp rally with many making record highs.

Comex Silver has hit a three-year peak. Gold prices have reached an all-time high of $2,360 per ounce, while Zinc has climbed to a one-year high above $2,700 per ton.

Copper has also surged to a 14-month high due to strong fund buying.

Talking about precious metals and its prices, Narne highlighted three key factors.

Firstly, he pointed to anticipated monetary easing in Western countries, particularly the United States, as a primary catalyst.

Secondly, he highlighted a noticeable uptick in central bank buying, notably citing China’s sustained procurement of gold, which bolsters physical demand.

Thirdly, the persistent deficit in the physical silver market, which could mean persistent scarcity in the foreseeable future as the demand continues to rise.

These factors, including increased investment demand via ETFs, serves as a potent cocktail propelling both gold and silver prices skyward.

Among base metals, Narne is bullish sentiment on zinc and copper.

He expects strength in copper prices to continue, with targets ranging between ₹900-950 in the short to medium term.

“Zinc is something which is again because iron ore and steel itself is going up. So I think galvanising demand is surging up so zinc can see another 15 to 16% rally from here,” he said.