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Bank of America has stark message for Silver investors

Bank of America’s metals team argues silver could surge to $135–$309/oz by end-2026, based on compression of the gold-to-silver ratio from the current ~59:1 toward historical lows and a tightening physical market. The bank frames $135 as a scenario using the 2011 ratio low (32:1) and $309 as a stress-case tied to the 1980 extreme (14:1). The call highlights acute market volatility — silver hit $121.67 on Jan. 29, plunged 36% to $75, and later recovered to about $81.50 — and a growing supply deficit (projected 67m oz shortfall in 2026 after a 40.3m oz deficit in 2025). BofA warns a delivery/physical squeeze could drive outsized moves, making silver an asymmetric, high-risk/high-reward trade for investors.

Category

Silver

Sentiment

Mixed

Event

Forecast

Reading time

1 min