Bank of America: Industrial demand will drive silver to take off, targeting $40

Bank of America expects that by the end of this year or early 2026, the price of silver will reach $40. Francisco Blanch, head of global commodities and derivatives research at the bank, said, "Silver is half precious metal and half industrial use. The precious metal nature of silver has been driving its rise, while the industrial aspect has been secondary, but this will eventually change." Industrial demand for silver is expected to hit a record in 2024, leading to a structural deficit in the silver market for the fourth consecutive year. Tariff concerns and supply chain disruptions have brought some adverse factors, but industrial demand is still expected to remain strong in 2025. Blanch stated that the growth of the green energy sector—especially solar energy—will strongly support the growth of industrial demand. "We still expect significant investments in solar panels and everything related to electrification, and silver, being the best conductor in the world, will play a key role. Once the industrial activity environment stabilizes, silver will shine again."