Will Silver Take Off Before the End of 2026?

The price of silver has been falling sharply this year. Many investors piled money into the precious metal late last year, and it would eventually hit a new all-time high of more than $120 per ounce in late January. Since then, however, it's been on a downward spiral, with silver now trading around $66. It's been in steep decline, but that could change later this year, particularly given the uncertainty in markets and the economy as a whole. Could investing in the iShares Silver Trust (SLV -1.21%), which tracks the price of silver, be a good move right now? Image source: Getty Images. Why silver might be in high demand again Late last year, as silver was soaring, there were concerns about Fed independence and who would take over from Jerome Powell. When investors learned Kevin Warsh would be taking over, that's when the price of silver started to plummet. President Trump announced his pick in late January, and since then, silver's been on a decline. The markets appeared to like the Warsh pick as it instilled some confidence in the path ahead. But now, with growing uncertainty about whether rates will rise or fall, and the U.S. president threatening to halt trade with certain countries if rates aren't cut, there may be renewed concerns about the Fed and its independence. Plus, with midterm elections also coming up in a few months, there's room for even greater uncertainty ahead for the stock market. The situation may be ripe for silver to pick up steam once again. Expand NYSEMKT : SLV iShares Silver Trust Today's Change ( -1.21 %) $ -0.73 Current Price $ 59.82 Key Data Points AUM $33B Expense Ratio 0.50% Investing in the iShares Silver Trust could be a good way to hedge against uncertainty I do think the price of silver will rise before the end of the year, simply because of all the potential economic and political turmoil ahead. And given the high valuations in the stock market these days for many stocks, there are plenty of reasons for investors to look for safety in the latter part of the year, and silver could be in high demand. However, regardless of what happens with silver, investing in the iShares Silver Trust can still be a good way for investors to diversify their portfolios right now. With the S&P 500 at around record levels, now may be a good time to look for investment opportunities that may possess more upside than simply tracking the broader markets, and silver may be as good an option as any right now.