Silver Hits $38: Why Banks Are Bearish Amid Bullish Signals

The silver price is hovering around $36 per ounce, just a stone’s throw from the psychological $40 barrier. If you’re like many precious metals investors watching this rally unfold, you’re probably wondering: Why aren’t more major banks calling for $40 silver — or higher? 

It’s a fair question. Because on paper, the silver market outlook has rarely looked better. 

The Disconnect Between Fundamentals and Forecasts 

Demand is surging — driven especially by the solar industry, where silver remains irreplaceable. Industrial uses are expanding. Investment interest is rising. Meanwhile, supply simply isn’t keeping up. The market has been running a structural deficit for years, and there’s no immediate relief in sight. 

So why the disconnect? 

Here’s what some of the most bullish institutions are projecting: 

• J.P. Morgan: Silver could reach $38 in 2025 

• Citigroup: Silver might hit $40 in 2025 

• Saxo Bank: Silver has the potential to break $40 in 2025 

These are among the most optimistic forecasts from major financial institutions — and yet, they’re barely ahead of where we are now. That’s telling. Despite the bullish fundamentals, Wall Street still seems hesitant to call a breakout. 

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Wall Street Isn’t Watching — Yet 

Many banks that offer detailed gold forecasts don’t even bother to produce outlooks for silver. Coverage is thin, sentiment is muted, and silver still plays second fiddle to gold in most institutional models. 

And when silver is mentioned, it’s often framed as an afterthought—more volatile, more industrial, less “serious.” The market just doesn’t get the respect it deserves. One report even likened silver’s status in financial circles to “a pork knuckle and a pint of beer among vegan teetotalers.” 

But that quiet disregard could be exactly what makes this moment so interesting. 

A Window of Opportunity for the Savvy Investor 

The lack of institutional enthusiasm creates a rare kind of asymmetry. While the big banks snooze, independent analysts, retail investors, and high-conviction contrarians are paying close attention — and quietly positioning themselves. 

The real risk might not be owning silver today. The real risk might be waiting until Wall Street wakes up. 

So where does that leave the silver market outlook heading into the second half of 2025? 

Silver is doing what it’s always done best: outperforming quietly, grinding higher while the consensus drags behind. And the longer that disconnect persists, the more upside potential it creates for those ahead of the curve. 

Trust the Data, Not the Herd 

If you’re looking to navigate this moment with clarity, focus on what matters most: supply, demand, and sentiment. The silver market outlook in 2025 may be murky in the eyes of institutional analysts — but to anyone paying attention, the opportunity is crystal clear. 

The fundamentals have shifted. The narrative hasn’t caught up yet. 

And that’s where smart investors thrive. 

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Disclaimer: This article is for informational purposes only and should not be considered investment advice. Precious metals prices can be volatile, and past performance does not guarantee future results. Always conduct thorough research or consult with qualified financial advisors before making investment decisions.