HSBC Lifts Silver Forecast Amid Soaring Gold, Tariff Fears, and Growing Demand

By Franklin Metals Group

Setting the Scene

Silver is catching renewed attention as analysts at HSBC significantly raised their silver price outlook for the coming years. With gold hitting historic highs, investors are increasingly turning to silver as both a safe haven and growth asset under geopolitical tension and dollar uncertainty. HSBC now forecasts silver will average $35.14/oz in 2025 (up from $30.28), with prices easing slightly to $33.96 in 2026 and $31.79 in 2027—still notably higher than earlier expectations. These revisions come as silver continues to benefit from record gold strength and sustained structural demand versus tightening supply.

Market Dynamics at Play

Gold’s climb beyond the $3,500 mark amid trade tensions, inflationary pressures, and economic uncertainty fueled demand across the precious metals suite. Silver, though often seen as secondary, is gaining recognition for its role in industrial applications—particularly in photovoltaic panels and electronics—while retaining its value as a hedge asset. HSBC projects a widening silver supply deficit: from 167 million ounces in 2024 to 206 million ounces in 2025, a gap slightly narrowing to 126 million ounces in 2026.

Why It Matters to You

Investors: A raised outlook from a globally respected institution like HSBC strengthens the case for silver’s bullish trajectory. Adding or rebalancing silver in your portfolio may deliver excellent upside in the coming months.

Industrial & Sourcing Clients: As industrial demand grows, now is a crucial time to secure supply—especially as market fundamentals tight severity increases.

Recyclers: Elevated silver projections combined with supply shortfalls make scrap recovery even more valuable today than ever.

How Franklin Metals Group Supports You

• Certified silver sourcing—investment-grade and industrial quality tailored to market timing

• Efficient recycling & refining—unlock maximum value from your materials

• Secure logistics & storage—aligned with pricing cycles and strategic goals

Final Thoughts

HSBC’s updated silver forecast underscores compelling drivers: strong gold trends, economic risk, and structural supply constraints. Whether you’re investing, sourcing, or recycling, aligning your strategy with these dynamics now may unlock significant future gains. Franklin Metals Group is your partner in navigating this landscape with clarity and confidence.

Sources:

• HSBC raises silver price forecasts amid gold strength and geopolitical risk 

• Precious metals poised for growth on record central bank buying and continued uncertainty