Why Silver Beat Gold and the S&P in 2025—And What Comes Next

Group 1 - Silver has gained approximately 95% year-to-date, significantly outperforming gold's 60% rise and the broader S&P 500 returns, driven by aggressive industrial demand, shrinking global inventories, and shifts in monetary policy [2] - The iShares Silver Trust (NYSEARCA: SLV) has become the primary vehicle for equity investors to participate in the silver rally, closing around $51 at the end of November [3] - A cooling system failure at a data center caused a ten-hour trading halt on the Comex silver futures market, highlighting the fragility of the global silver market [4] Group 2 - The demand for silver is increasing due to its use in efficient solar technologies and global green energy production, supported by a favorable Federal Reserve and new government designations for critical minerals [4] - During the trading halt, spot prices for silver spiked to a record $56.72 per ounce, indicating a critically short supply of deliverable silver [5] - The disconnect between paper markets and physical markets was highlighted, showing the value of holding assets tied to physical metal, especially when liquidity dries up [6]