Silver prices surge – silversmith’s challenge

Silver prices surge – silversmith’s challenge

The upward flight that silver prices took in 2025 was not unnoticed. Silver price on stock exchange went up 147% during the year. And this monumental surge continues. The global metals market reached a historic milestone on January 13, 2026, as silver futures settled at a staggering $85.877 per ounce.

Follow the stock exchange dynamics of this precious metal.

As a silversmith is depending on the prices of raw materials for jewellery making, this presents a clear challenge. Our pieces become more and more expensive.

Here below I will try to answer this question for myself as a hobby jewellery maker

The reasons for the silver prices surge

Here you find 7 main reasons why silver prices went up. Among others because:

• Silver was undervalued for a long period of time.
• Industrial demand for silver is growing
• Geopolitical tensions and economic instability are increasing
• Silver resources are getting depleted

Actually those factors existed  back in 2011 (see last paragraph Information on silver: commercial aspects)

What should a silversmith do?

• Follow the market dynamics

With the silver price rising every day, should you panick and buy all supplies that you wanted to buy but postponed?

Yes and no. Some analysts argue that the major precious metals rallies often unfold in multiple waves rather than single parabolic moves. It means, there will be ups and downs, while the general trend is upward.

There are opinions that the current silver price surge is a typical example of the “bull market”. Some use the word “pumping” for it. Google it to understand this phenomenon better

Pumping means that the growth is artificial. For instance, there has been no real increase in demand (including jewelry) from 2023: 943 mln ounces in 2023,  969 mln. ounces in 2024, 944 mln. ounces in 2025. In the same period supply has even increased slightly: from  998 mln ounces in 2023 to 1015 mln ounces in 2024 and  1031 mln ounces in 2025. The numbers have been taken from a Telegram channel @Spydell Finance. This blogger writes that the existing price surge explanations are mainly fake. The resources are not depleted. There is no squeeze from China. China will continue to supply silver to the world markets. The geopolitical risks today are not very much higher than in 2022-2023.

So, wait and see the price go down in 2026? I will bet on it. On the other hand, the long term trend is up.

• Buy when you see a good offer.

Silver inventory will only gain value with time. Silver doesn’t rust as we say.

It is a challenge, but also a chance for the jewellery maker to:

• Adjust prices
• Raise awareness of the value of silver jewellery

Silver has been considered “poor man’s gold” for ages. In many cultures giving silver jewellery as gift is considered “not done”. Too cheap. The time will come when this metal will regain its value and status. I really hope that the sellers on the platforms on Etsy (to say nothing of Ali and EBay) will have enough self-assurance and respect for this metal and adjust their prices.

As to myself, I will certainly do it. Folks, buy genuine solid silver jewellery today, tomorrow it will be more expensive.