On the first day after Christmas, gold and silver hit new highs, and the author of "Currency Wars" stated, "Next year, gold prices will reach $10,000, and silver prices will reach $200!"

The precious metals market continued its strong upward trend on the first trading day after Christmas, with silver reaching an all-time high and gold approaching historical peaks. Renowned economist Jim Rickards made a startling new prediction, suggesting that gold prices could rise to $10,000 by 2026, while silver prices may reach $200.

Spot silver rose 2.2% on Thursday to a historic high of $73.44 per ounce, marking its fifth consecutive day of gains. Spot gold is also nearing its historical high of $4,525. The geopolitical tensions in Venezuela have intensified the safe-haven demand for precious metals, as the U.S. has imposed a blockade on oil transport vessels to the country.

Additionally, traders are betting that the Federal Reserve will further cut interest rates in 2026, providing additional support for precious metals. Silver has seen a cumulative increase of 150% this year, with its momentum accelerating since the historic short squeeze in October.

Renowned economist and bestselling author Jim Rickards stated in a recent interview, "The factors driving the entire metal market upward will continue to exert force next year, and I would not be surprised to see gold prices reach $10,000 and silver prices rise to $200."

Silver Leads to Historic Highs, Gold Follows Closely

Spot silver reached a peak of $73.4393 during trading on Thursday, setting a new historical record, marking its fifth consecutive day of gains. Silver has seen a cumulative increase of about 150% this year, making it the standout precious metal.

Spot gold also performed strongly, approaching the historical high of $4,525 set on Thursday. The ongoing geopolitical risks, particularly the tense situation in Venezuela and the U.S. blockade on oil transport to the country, have further reinforced gold's safe-haven attributes.

Market expectations for further interest rate cuts by the Federal Reserve in 2026 also support precious metal prices, as a low-interest-rate environment typically benefits the performance of non-yielding assets like gold and silver.

Jim Rickards Predicts Explosive Growth in Gold and Silver Prices by 2026

Renowned economist, financial analyst, and bestselling author Jim Rickards made an extremely optimistic prediction for the precious metals market in 2026 during a recent interview. He stated that the traditional driving factors behind the current gold and silver bull market—central bank demand and relatively stagnant supply—will continue to play a role in 2026.

Rickards emphasized that increased demand from institutional investors, including sovereign wealth funds and endowment funds, could further drive prices higher. He pointed out that recent efforts by Europe to take over Russian assets are also impacting gold demand, as countries begin to divest from assets that could be seized.

Rickards explained, "If you are a large holder of U.S. Treasury bonds, whether from Saudi Arabia, Japan, Brazil, or anywhere else, you might wonder what would happen if the U.S. doesn't like something I do?" "Maybe I should diversify into gold."

The Silver Short Squeeze Effect Drives Prices Soaring

Regarding the sharp rise in silver prices, Rickards analyzes that it is related to the supply-demand imbalance in the physical delivery market. He points out that in a market where the ratio of paper silver to physical silver is 100:1, the demand for physical delivery is driving prices up.

Since the historic short squeeze in October, the silver market has seen an accelerating upward trend. The dual factors of tight supply and surging speculative demand have led to a significant price jump in a short period.

Rickards concludes, "I wouldn't be surprised to see gold prices at $10,000 by the end of 2026; I believe we will see that. Silver will follow this trend, and by then you will see prices of $200 per ounce."

Gold recently broke through the $4,500 mark, and silver has reached over $70, marking one of its best annual performances to date. Other metals like platinum and copper have also experienced significant price increases