After observing this phenomenon, I have to admit it’s a bit eye-opening.

Silver’s recent performance has indeed unexpectedly gained popularity, and its connection to the AI wave is closer than imagined.

Numbers speak: Silver has risen 35.5% since the December opening, reaching a nearly 20-year high. Even more impressive is the annual performance—silver has increased by 71% for the whole year, far surpassing gold’s 54% increase during the same period. This comparison alone is quite revealing.

Looking closely at the gold-silver ratio over the past five years, an interesting turning point appeared in April of this year. From that low point, the S/G ratio has been rising steadily, continuously exceeding expectations. Even though gold has already performed quite wildly in the past six months, silver’s relative strength remains obvious.

The underlying logic is easy to understand: as a precious metal serving both as a safe-haven asset and an industrial raw material, silver’s broad applications in electronics, photovoltaics, and other industries give it an extra boost driven by explosive growth in AI chip demand and complex geopolitical situations. This is the real reason why silver is outperforming.