Agency: Silver becomes "Trump of the trading world" and upward momentum expected to continue

Julius Baer analyst Carsten Menke said that the price of silver may continue its recent rapid rise, further climbing to $125 or even $150. He pointed out that traditional drivers, such as a weakening US dollar or declining bond yields, cannot fully explain this uptrend; geopolitical factors also do not hold up, as even if global tensions ease, the price of silver continues to rise. "Silver seems to have become the 'Trump of the trading world', completely unpredictable." He added that the current price reflects not the intrinsic value of silver itself, but the buying intentions of market participants. In his view, only a significant devaluation of the US dollar and a widespread loss of trust in the US dollar as a reserve currency globally would be enough to support such high prices, but these scenarios currently seem highly unlikely. Nevertheless, due to the current market being dominated by capital flows rather than fundamentals, the upward momentum of silver is expected to continue.