Core Viewpoint - CME Group announced the launch of a 100-ounce silver futures contract on February 9, 2026, pending regulatory approval, aimed at attracting retail traders amid geopolitical uncertainties and energy transitions [1] Group 1: Product Launch - The 100-ounce silver futures will be cash-settled based on the daily settlement price of the global benchmark silver futures and will be listed on the COMEX [1] - This new contract is expected to provide a broader range of participants with investment opportunities, benefiting from the liquidity and efficiency of the futures market [1] Group 2: Market Demand and Trends - There is a growing appeal of silver to retail traders who seek to diversify their risk exposure through various metal products [1] - The demand for silver is currently high, prompting CME Group to expand its small-scale product offerings [1] Group 3: Industry Insights - Robinhood Markets expressed that the new futures contract aligns with their mission to democratize financial services, offering customers a lower capital way to trade silver [1] - Plus500US noted that the new contract will allow global customers to seize silver market opportunities in a more flexible and cost-effective manner [1] Group 4: Trading Volume Records - In 2025, retail demand for CME Group's metal futures surged, leading to record trading volumes, with micro gold and micro silver futures averaging 301,000 and 48,000 contracts per day, respectively [1] - The cumulative trading volume for the 1-ounce gold futures contract, launched on January 13, 2025, exceeded 6 million contracts [1]

Group 1 - Silver prices have surged to historic highs driven by unprecedented investment demand, prompting CME Group to launch a new 100-ounce silver futures contract aimed at retail traders [1] - The new silver futures contract will not involve physical delivery but will be cash-settled, providing a more flexible and cost-effective way for global clients to capture silver opportunities [2] - The launch of this new product comes at a time when demand for physical silver bars remains exceptionally high, with current spot silver prices exceeding $87 per ounce and March silver futures trading around $83 per ounce [2] Group 2 - Analysts indicate that the silver supply chain remains extremely fragile due to record industrial demand depleting ground inventories over the past five years, leading to competition between industrial users and investment demand for physical supply [3] - The introduction of CME's cash-settled product alleviates concerns regarding delivery for investors, and analysts expect continued growth in demand for hard assets like gold and silver amid increasing geopolitical and economic uncertainties [4] - Some analysts believe that silver prices could rise to $100 per ounce as they hover near historic highs, indicating a strong bullish sentiment in the market [4]

Group 1 - CME plans to launch a 100-ounce silver futures contract on February 9, 2026, to meet record retail demand [1] - The new contract, coded "SIC" on the Globex electronic trading system, aims to provide low-cost and easy access to the silver market [1][2] - The introduction of the SIC contract allows traders to control more resources with less capital, avoiding strict geographical requirements and high borrowing costs [1] Group 2 - Jin Hennig, CME's Managing Director, stated that the new contract enhances accessibility for retail investors seeking to diversify their investments amid geopolitical uncertainties [2] - JB Mackenzie from Robinhood Markets emphasized that the new futures contract aligns with their platform's goal of enabling customers to participate in silver trading with less capital [2][3] - The demand for silver is strong, and the new contract is expected to provide global customers with a more flexible and cost-effective way to seize silver opportunities [3] Group 3 - CME reported record trading volumes in metal futures driven by retail demand, with micro gold futures averaging 301,000 contracts daily and micro silver futures reaching 48,000 contracts [3] - The recently launched 1-ounce gold futures contract has accumulated over 6 million contracts traded since its introduction on January 13, 2025 [4]

Core Viewpoint - The metal market is expected to be the most prominent sector in commodities for 2025, with silver and copper experiencing significant price increases due to tight supply, resource competition, and investment demand, following a slowdown in gold prices after three years of growth [1][2]. Group 1: Market Trends - COMEX copper has achieved a monthly increase for five consecutive months, with a monthly growth rate expanding to nearly 8% [1]. - COMEX silver surged over 30% in December, leading to an annual increase of approximately 170% [1]. - The trend of "gold as an anchor, silver and copper in motion" is likely to continue in the foreseeable future, driven by the global trend of "de-dollarization" and the rapid development of new industries such as AI and renewable energy [2][3]. Group 2: Supply and Demand Dynamics - The demand for silver is being driven by the rapid growth in the photovoltaic industry and electronic components, leading to a structural shortage in the global silver market for five consecutive years [6]. - Copper demand is stabilizing due to the AI boom, which increases computational needs, while supply constraints are reinforcing copper price stability [6][7]. Group 3: Price Volatility and Future Outlook - Despite the inherent logic supporting metals, short-term volatility is expected to decrease after a year of high fluctuations in 2025 [7]. - The gold price is projected to reach $5,000, but the growth rate has slowed compared to previous years [7]. - The copper market is transitioning from a tight balance to a shortage expectation, with prices around $12,000, indicating that further increases will require new narratives [7][8]. Group 4: Investment Strategies - The metal market is moving towards a phase of "value reshaping," where refined risk management will replace simple directional bets [8]. - Investors can utilize diversified futures tools, such as micro silver and copper futures, to capture long-term allocation opportunities in strategic assets while navigating a period of reduced volatility [8].

Core Viewpoint - The silver market is experiencing significant volatility, with prices recently reaching historical highs, driven by strong retail investor demand and supply constraints [1][3]. Group 1: Market Performance - As of December, silver prices have maintained a parabolic upward trend, trading around $58.63 per ounce, with a peak of $59.65 per ounce earlier [1]. - Silver has seen a remarkable increase of over 100% year-to-date, a rare occurrence in precious metals history [1]. - In November, silver futures rose by 18.6%, marking the best monthly performance since July 2020, largely due to retail investors' increased participation [3]. Group 2: Trading Activity - The average daily trading volume of standard silver futures reached 108,000 contracts, a 22% increase compared to November 2024 [2]. - The average trading volume for micro silver futures surged to 75,000 contracts, a 238% increase year-over-year [2]. Group 3: Demand and Supply Dynamics - Analysts highlight that the recent surge in silver prices is primarily driven by retail investor demand, particularly through micro contracts [3]. - The ongoing supply constraints, coupled with strong demand, are expected to provide long-term upward momentum for silver prices [1]. Group 4: Technical Analysis - Silver prices are attempting to hold above the resistance level of $58.60-$58.80 but are showing signs of losing momentum [4]. - A drop below $56.50 could lead silver prices towards the support level of $52.60-$52.80 [4].

Group 1 - Retail investment remains a key driver for the expansion of overall trading volume in the precious metals market, with CME Group reporting an average daily trading volume of 33.1 million contracts in November, marking a 10% increase year-over-year and the second highest in history [1][3] - The preference for smaller contracts has significantly driven the surge in trading volume, with the overall average daily trading volume in the metals sector increasing by 52% last month, and micro gold futures reaching an average daily volume of 476,000 contracts, a substantial increase of 235% compared to last year [1][3] Group 2 - Silver futures have seen notable growth, with an average daily trading volume of 108,000 contracts, up 22% year-over-year, and micro silver futures experiencing a remarkable 238% increase in volume [2][4] - The strong trading activity in silver is closely linked to its price surge, with November silver futures rising by 18.6%, achieving the best monthly performance since 2020, and breaking the $55 per ounce mark for the first time [2][4] - As of December, silver prices have continued to rise, reaching $59.275 per ounce, with a year-to-date increase exceeding 100% [2][4] - Despite potential volatility near record highs, strong demand and tightening supply structures provide robust support for silver's long-term trend, with some institutional investors viewing silver as having a valuation advantage over gold [2][4] - The long-term gold-silver ratio is approximately 68, while the current ratio stands at 74, indicating potential for further silver price appreciation if the ratio returns to its historical average [2][4]

Core Insights - The average daily trading volume of micro silver futures surged by 238% year-on-year in November 2025, while standard silver futures only saw a 22% increase, indicating a significant shift towards retail participation in the market [1] - The overall increase in silver futures prices was 18.6% in November, with a notable 14.5% rise in the last week attributed to retail investors entering the market [1] - The London Bullion Market Association (LBMA) reported a drastic decline in available silver inventory from 850 million ounces in 2021 to 200 million ounces by October 2025, a drop of over 70%, highlighting a mismatch between trading demand and physical deliverable supply [1] Market Dynamics - Retail investors' physical silver purchases and increased ETF holdings led to a spike in silver borrowing rates, which reached 200%, causing major market-making banks to withdraw due to performance risk [1] - The bid-ask spread widened to $1.2 per ounce, resulting in a near standstill in the market, which further fueled retail investors' perception of silver scarcity and prompted additional buying, creating a vicious cycle [1]

Core Insights - CME Group reported that the average daily trading volume reached 33.1 million contracts in November 2025, marking a 10% year-over-year increase and the second highest level on record for the group [1] - The highest monthly average daily trading volume record was set in April 2025 at 35.9 million contracts [1] Trading Volume Growth - Overall trading volume for metal products increased by 52% year-over-year in November [1] - Average daily trading volume for micro gold futures surged by 235% to 476,000 contracts [1] - Average daily trading volume for silver futures grew by 22% to 108,000 contracts [1] - Average daily trading volume for micro silver futures skyrocketed by 238% to 75,000 contracts [1]