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Silver Rebounds as J.P. Morgan Puts 2026 Average at $81 and Industry Group Flags Ongoing Deficit

Analysts cite industrial reliance and investor flows as the pivotal forces shaping prices this year.

Overview

  • After spiking to about $121, silver slumped to roughly $65 before rebounding 28% to around $83 in early February.
  • J.P. Morgan Global Research projects a 2026 average price of $81 per ounce, more than double the 2025 average.
  • The Silver Institute forecasts a sixth straight market shortfall of about 67 million ounces in 2026, with total supply near 1.05 billion ounces.
  • Tight physical liquidity in London and continued dependence on above-ground inventories are expected to persist, the institute says.
  • Volatility has been driven by policy signals and dollar moves, including a sell-off after Kevin Warsh’s Fed nomination, while high prices raise substitution and thrifting risks in solar.