Silver Shines Brighter as Gold Holds Ground Amid Mounting Economic Strains
Saturday, July 19th 2025
As gold stabilizes above the $3,300 mark and silver consolidates comfortably over $36, analysts are signaling fresh upside potential for both metals. But some eyes are shifting more intently toward silver, viewing it as the metal with more room to run.
In a recent conversation with Ryan McIntyre, Senior Managing Partner at Sprott, offered a bullish forecast on precious metals—especially silver in the near term—amid growing concerns about sovereign debt and economic vulnerabilities.
Gold Holding Steady, Silver Gaining Momentum
At last check, spot gold was trading at $3,344.28 an ounce, up 0.24% on the day, while spot silver gained over 1% to reach $36.40, showing strength after falling from record highs earlier this year. The gold-to-silver ratio has narrowed sharply to below 92, a significant pullback from April’s highs above 100, suggesting silver could be catching up.
While gold continues to enjoy strong central bank demand and serves as the bedrock for long-term monetary protection, McIntyre believes silver is undervalued and poised for a tactical surge. “Gold remains the world’s enduring store of value,” he noted, “but silver has more catching up to do.”
Silver’s Double Role: Industrial & Monetary
Often overlooked in monetary debates, silver’s industrial applications—accounting for about 60% of its demand—are benefitting from a backdrop of reduced trade tensions and fading recession fears. However, McIntyre emphasized that silver is also viewed by retail investors as a monetary hedge, much like gold.
“Even though central banks don’t hold silver in reserves, retail investors still see it as a hard asset that can help protect against monetary debasement,” he said. And while the industrial cycle may ebb and flow, the underlying monetary narrative for silver is strengthening.
Sovereign Debt Sparks Hard Asset Rotation
One of the core drivers behind McIntyre’s confidence is the growing sovereign risk tied to ballooning government debt. With U.S. national debt now exceeding $37 trillion, and a newly passed Senate budget bill potentially adding another $3 trillion in deficits over the next decade, he warns that the debt situation is becoming harder for investors to ignore.
“People are beginning to realize that the math doesn’t work,” McIntyre said. “The deficits, the compounding debt-to-GDP ratios—it’s all pointing toward an eventual reckoning. That’s when capital starts fleeing risk assets and finds a home in hard assets like gold and silver.”
Gold May Consolidate—But Silver Could Outperform
According to McIntyre, gold could stabilize around the $3,300 level through the summer as investors recalibrate after its strong performance. But even if gold trades sideways, he expects silver to outperform on a relative basis.
“Silver is still the value play,” he said. “Gold’s long-term role is secure, but silver offers tactical upside. As gold climbs higher, silver will follow—regardless of how strong its industrial demand is in the short term.”
Precious Metals Remain Underowned
Despite gold’s recent run, McIntyre rejects the notion that the metal is overcrowded. “I don’t think gold is overvalued or saturated,” he argued. “There’s still plenty of capital on the sidelines—especially when you compare it to how overextended equity markets are. There’s more room for investor migration into metals, and silver could be the gateway.”
With macroeconomic and fiscal pressures mounting, gold and silver both appear poised to maintain their relevance—and potentially their upward trajectories.
“Gold is the foundation,” McIntyre concluded. “Silver is the opportunity.”
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