New Delhi: Silver prices may climb as high as Rs 1.5 lakh per kg in the coming months, supported by robust industrial demand, a weakening dollar and safe-haven flows amid global uncertainties, according to a report by Motilal Oswal Financial Services Ltd (MOFSL).
In global markets, the white metal may test $50 per ounce level, according to the outlook. In its quarterly outlook, the financial services company said silver has already delivered nearly 37 per cent returns year-to-date on the MCX, outperforming several asset classes.
The white metal has benefited from a mix of investment and industrial demand, geopolitical tensions and expectations of monetary policy easing across major economies.
“After achieving our earlier targets, we continue to believe silver remains poised for further upside.
“We expect prices to gradually move towards Rs 1,35,000 per kg in six months and then Rs 1,50,000 per kg in 12 months on the domestic front, assuming the rupee trades around 88.5 against the US dollar,” the report noted.
In the international markets, MOFSL expects that Comex silver futures may test levels of $45 per ounce initially and $50 per ounce in the next leg of the rally.
The report highlighted that silver’s bullish outlook is being underpinned by multiple factors.