Citigroup remains bullish on silver amid supply shortages and strong demand

According to Citigroup Inc., silver prices will climb up in the coming months, surpassing $40 per ounce, driven by a tightening global supply and robust investment demand. While gold has already peaked, analysts note that silver is poised for further gains due to sustained market deficits. The bank believes gold will trade below $3,000 per ounce in 2026, losing some of its earlier momentum.

Citigroup has revised its three-month silver forecast from $38 to $40 per ounce and its six- to twelve-month outlook from $38 to $43 per ounce. Falling bullion supplies and steady investment demand are now keeping prices strong, as financial institution commented.

However, gold's rally appears to be losing steam. Despite hitting record highs this year, fueled by central bank purchases and a surge in ETF inflows, analyst Max Layton suggests the metal lacks new catalysts for growth. Although prices have risen 25% since early 2025, this trend may be unsustainable.