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Future Plan, In The Name of Trust!
Motilal Oswal Projects Silver Upside Through 2026, Sets Formal Price Objective of ₹3.20 Lakh per Kg
Motilal Oswal Projects Silver at ₹3.20 Lakh/kg by 2026 as Bullish Trend Persists
Motilal Oswal’s latest outlook suggests that silver’s extraordinary rally in 2025 may not be a one‑off event but the beginning of a structurally stronger phase for the metal. The house sees room for prices to move towards the ₹3.20 lakh/kg zone on MCX by 2026, supported by a mix of robust industrial demand, constrained mine supply and steady investment flows.
Structurally, silver today is riding three powerful themes. First, industrial use is expanding across solar PV, electric vehicles, power electronics and broader electrification, with multiple studies projecting sustained demand growth over the coming years. Second, supply has been struggling to keep pace, with recurring physical deficits tightening the market and limiting the scope for any prolonged correction. Third, in an environment of fiscal stress, negative real rates and geopolitical uncertainty, silver continues to benefit from its dual identity as both a precious metal and an industrial commodity, attracting tactical as well as strategic allocations from global investors.
That said, the path to any higher target is unlikely to be linear. After a 2025 rally of well over 100% in some contracts, the probability of sharp corrections, profit‑booking and sentiment‑driven swings remains high, especially around macro events and shifts in US yields or the dollar. For investors, this makes a “buy on meaningful dips, with a staggered approach” more sensible than chasing short‑term spikes, and underlines the importance of aligning silver exposure with risk profile, time horizon and overall asset allocation rather than viewing it as a quick‑return trade.