Silver Outperforms Gold with 15.59% August Gain
Spot silver rose 15.59% in August, beating gold's 9.67% increase due to high beta and supply deficits.
Key points
- Spot silver rose 15.59% in August, significantly outperforming spot gold's 9.67% monthly increase.
- Sprott cites high beta and volatility as key drivers, noting silver jumped from $46.85 to $116.70 earlier in 2026.
- Global supply deficits and strong demand support silver prices, boosting the NAV of mining-focused ETFs like SLVR.
Spot silver prices rose 15.59% in August, outpacing the 9.67% gain seen in spot gold during the same period. This divergence highlights silver's stronger momentum relative to its precious metal counterpart in recent months.
Sprott Asset Management attributes this performance to silver's high beta and greater price volatility compared to gold. The firm notes that these factors allowed silver to capture more upside during positive market conditions.
Volatility drives outperformance
Silver's higher volatility acts as a leveraged bet on precious metal rallies. From October 2025 to January 2026, spot silver surged from $46.85 to $116.70, demonstrating this amplification effect.
Supply deficit supports prices
Global silver inventories remain strained by robust industrial and investment demand. This ongoing supply deficit creates favorable tailwinds for spot prices in the coming months.
ETF Database reports that these dynamics benefit mining companies directly. Rising prices and tight supplies improve margins for firms producing the metal for end users.
Miners capture price gains
The Sprott Silver Miners & Physical Silver ETF saw its NAV rise 31.39% in August. This fund combines exposure to mining equities with physical silver holdings to maximize returns.
