Citi Raises Silver Price Target to $150 as Spot Prices Surge
Citi has raised its 12-month silver price target to $150 per ounce after spot silver surged well past prior forecasts at record speed. The bank cited accelerating investment demand and constrained physical supply as drivers for the rapid move. Citi’s upward revision reflects heightened price momentum and growing safe-haven and industrial interest in silver. The note warns of continued volatility but expects a material re-rating of silver’s risk premium over the coming year. Key figures: new 12-month target $150/oz (previous target not stated in article), rapid record-paced price appreciation in spot silver. Traders should watch liquidity in physical markets, ETF flows, industrial demand data, and macro indicators (inflation, real rates, USD strength) that will influence silver’s path.
Bullish
Citi’s upward revision of its 12-month silver target to $150 signals an institutional reassessment of silver’s supply-demand balance and price trajectory. A major bank publicly increasing its target typically supports bullish sentiment among traders, encouraging fresh inflows into silver ETFs, futures, and physical markets. The article highlights accelerating investment demand and constrained physical supply—classic bullish fundamentals that can tighten available metal and push prices higher. Historical parallels include episodes when institutional upgrades and strong ETF inflows preceded sharp rallies in precious metals (e.g., 2020 gold/silver moves). Short-term, expect elevated volatility as traders react and positions are re-priced; liquidity squeezes in physical markets or spikes in ETF demand could amplify intraday moves. Longer-term, if supply constraints persist and macro conditions (high inflation, low real yields, weaker dollar) remain supportive, silver could sustain a higher risk premium, validating the higher target. Risks that could temper this bullish outlook include a sudden improvement in real yields, USD strength, or rapid changes in industrial demand that reduce investor interest.