Weekly Special Report: SILVER

GEOPOLITICS: MIDDLE EAST WAR

• BREAKING (MAY 7): THE U.S. AND IRAN HAVE MOVED CLOSER TO A POTENTIAL DEAL, with Iran expected to respond as early as Thursday, May 7. Trump said talks were “very good” over the past 24 hours and that a deal could come quickly, possibly before his China visit. According to the Wall Street Journal, both sides are working on a one-page, 14-point MOU framework to end the conflict and ease tensions around the Strait of Hormuz.
• BREAKING (MAY 6): U.S. PRESIDENT TRUMP ANNOUNCED THE SUSPENSION OF "PROJECT FREEDOM". U.S. officials adopted a more de-escalatory tone after Secretary of State Marco Rubio declared Operation Epic Fury concluded. Defense Secretary Pete Hegseth said a transit route through the Strait of Hormuz had been secured, with hundreds of commercial ships waiting to pass. Meanwhile, General Dan Caine, Chairman of the Joint Chiefs of Staff, said Iranian attacks on U.S. forces had not reached the threshold required to resume major combat operations.   

EVENTS:

• FRIDAY, MAY 8 AT 13:30 GMT+1: U.S. NONFARM PAYROLLS (NFP) AND UNEMPLOYMENT RATE (APRIL). Nonfarm Payrolls measures the change in the number of people employed during the previous month, excluding the farming industry. A weaker-than-expected payroll report and a rising unemployment rate would highlight a softening U.S. labor market, increasing expectations for further Federal Reserve rate cuts.
• TUESDAY, MAY 12 AT 13:30 GMT+1: U.S. INFLATION (CPI) (APRIL). With the ongoing Iran war, investors remain cautious as higher energy prices could push inflation higher. However, Fed Chair Jerome Powell stated recently that inflation expectations remain well anchored despite rising energy prices, reviving expectations of monetary easing, supporting silver prices. The US headline inflation rate in March came in at 3.3%.

SILVER MARKET: HIGHER DEMAND AMID SUPPLY SHORTAGES LEADS TO A WIDENING DEFICIT

• MARKET DEFICIT: SILVER MARKET REMAINS IN DEFICIT SINCE AT LEAST 2016. The silver market faced a deficit of around 300 million ounces in 2025, according to recent reports from The Silver Institute. While the market has been in deficit since 2016, the gap has grown significantly since 2022.
• SUPPLY CONSTRAINTS: SILVER PRODUCTION REMAINS AROUND 800 MILLION OUNCES PER YEAR. Annual production has held near 800 million ounces, remaining largely unchanged since 2016. There is no clear indication that output will be meaningfully higher in 2026 or the following years.
• DEMAND REMAINS STRONG: SOLAR PANELS, ELECTRIC VEHICLES, AND A.I. INFRASTRUCTURE. Silver demand could increase during 2026 and beyond due to rising demand from solar production, electric vehicles, and rapidly expanding A.I. data center infrastructure.

TECHNICAL ANALYSIS AND PRICE ACTION

• SUPPORT AREA: $70 - $65. After the most recent downward price correction, silver prices continued to find support in the $70 - $65 range.
• SILVER PRICE HIT A NEW ALL-TIME HIGH ON JANUARY 29, 2026 ($121.49). Silver currently trades around $81, and if it fully recovers to its previous all-time high, it could see an upside of around 54%. However, the price could also decline.
• FORECAST: Citigroup forecasts $150; Bank of America $135.

GRAPH (Daily): October 2025 – May 2026

Please note that past performance does not guarantee future results

SILVER, May 7, 2026
Current Price:  81

Example of calculation based on weekly market trend for 1.00 Lot¹

1.  The above calculations are made based on 1.00 lot which is equivalent of 10,000 units
2.  Calculations for exchange rate used as of 13:00 (GMT+1) 07/05/2026

You can use risk management tools such as Stop-Loss and Take-Profit.