Regaining upward momentum! Precious metals collectively hit new highs: Silver breaks 74, platinum futures hit the limit up again, gold reaches 4530

After a brief adjustment yesterday, the global precious metals market quickly regained its upward momentum and collectively surged. Driven by escalating geopolitical tensions and ongoing supply mismatches in key spot markets, silver and gold prices reached historic highs, with platinum and palladium also strengthening simultaneously.

Spot silver recorded its fifth consecutive trading day of gains on Friday, currently priced at $74.37 per ounce, having broken through $75 per ounce at its peak, with an intraday increase of over 4.5%, continuing to set new historical highs.

Gold prices steadily rebounded, trading above $4,500 per ounce, currently at $4,502.46, with a peak above $4,530 per ounce, again setting a new historical high. Both platinum and palladium quickly rebounded after yesterday's pullback, with spot platinum rising over 5%.

In the domestic market, the main contract for palladium futures rose by 1.51% during the day, currently priced at 535 yuan per gram, having previously surged over 9%; the main contract for platinum futures opened its limit up, with the increase narrowing to 7.88%, priced at 696 yuan per gram. The Guotou Silver LOF resumed trading with a limit down, with a transaction volume of nearly 300 million yuan; the premium rate narrowed to within 30%.

Since the beginning of this year, gold has accumulated an increase of about 70%, while silver has risen by more than 150%, both expected to achieve their best annual performance since 1979. Despite a brief pullback yesterday due to profit-taking in the market, the upward momentum in the precious metals market remains solid, supported by expectations of interest rate cuts from the Federal Reserve, continued central bank gold purchases, and strong inflows into ETFs.

Silver: Spot squeeze triggers short squeeze, prices continue to set records

Silver is undoubtedly the leader in this round of rebound, primarily benefiting from the dual effects of macro risk aversion demand and micro market structure pressures.

The supply tightness in the silver market is intensifying. According to an article from Wall Street Insight, the London silver market is experiencing severe physical squeeze, with the key indicator "1-year silver swap rate minus U.S. rates" having fallen to -7.18%. This deep negative value indicates extreme scarcity in the spot market, with investors holding paper silver willing to incur costs to seek physical delivery In addition, traders are closely monitoring the U.S. Department of Commerce's investigation into whether imports of critical minerals "threaten national security." The market is concerned that this could lead to new tariffs or trade restrictions, further exacerbating hoarding behavior. Bloomberg notes that since the historic short squeeze in October, although there has been an influx of funds into London warehouses, most of the available silver globally remains stranded in New York, and this regional supply mismatch has further driven up prices.

Gold: Geopolitical Tensions Rise, Funds Continue to Flow In

After a correction yesterday, the gold market quickly stabilized, maintaining a strong bullish structure. In addition to the long-term support from expectations of Federal Reserve interest rate cuts, the latest geopolitical developments have become a short-term catalyst.

According to Bloomberg, the escalation of U.S. oil sanctions against Venezuela and Trump's announcement of a "strong strike" by U.S. troops against "terrorist organizations" in Nigeria have significantly increased the safe-haven appeal of precious metals.

At the same time, the structural tension in the spot market also provides solid support for prices. These factors effectively hedge against the market's high-level fear of heights, consolidating gold's position as a safe-haven asset.

In terms of fund flows, investors continue to increase their holdings of gold through exchange-traded funds (ETFs). According to data from the World Gold Council, global gold ETF holdings have increased every month this year except for May. As the world's largest gold ETF, SPDR Gold Trust's holdings have risen by more than 20% this year, demonstrating strong resilience in institutional allocation demand.

Platinum and Palladium: Fundamental Support for Rebound

After a significant correction on Thursday, platinum and palladium rebounded on Friday, recovering some ground, with the precious metals sector showing a broad upward trend.

The previous adjustment was mainly due to profit-taking at high levels, but the supply and demand fundamentals have not fundamentally reversed. The ongoing tightness on the supply side and the resilience of automotive catalyst demand, combined with the overall bullish atmosphere in the precious metals sector, attracted buying interest to quickly enter after the adjustment. The Bloomberg Dollar Spot Index remained flat, creating a favorable environment for the rebound of metals priced in dollars