Silver and gold prices are soaring worldwide: the market is preparing for a revaluation of precious metals
23 July 16:07
ANALYSIS 
Gold isn’t the only commodity rising in price on the global market. In recent years, silver has been rising in price even faster in percentage terms, as it is actively used not only in the jewelry industry but also in electronics, instrument manufacturing, the automotive industry, and other technology sectors.
The rising cost of this key raw material will inevitably lead to a revision of jewelry prices in Ukraine. Currently, a sharp price spike is being held in check by existing inventories of previously manufactured products; however, once those are depleted, new batches of jewelry will cost more.
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Silver is rising faster than gold
According to the expert, when discussing rising jewelry prices, one should not focus solely on gold. Silver is showing even more rapid growth.
“It’s not just gold that’s getting more expensive. Silver is also rising in price globally, and at a faster rate in percentage terms than gold,” noted Dmytro Vydolob.
In July 2026, global silver prices hovered around $60 per troy ounce, while gold traded above $4,000 per ounce. In the short term, prices may either rise or correct, but the overall level of precious metal prices remains high.
Why has silver become so sought after?
Gold is largely viewed as an investment asset and a safe-haven instrument during times of economic or geopolitical instability. Silver also serves as an investment, but it has significantly broader industrial applications.
It is used in:
- electronics and electrical engineering;
- instrument manufacturing;
- the automotive industry;
- the manufacture of electrical components;
- energy technologies;
- medical equipment;
- jewelry manufacturing.
“The rate and extent of price increases for precious metals are influenced not only by the production needs of jewelers, but primarily by those of industrial sectors—electronics, instrument manufacturing, mechanical engineering, automotive manufacturing, and others,” explained Vydolob.
Silver has high electrical and thermal conductivity, making it difficult to fully replace in certain technological processes. When industrial production increases metal consumption, this puts additional pressure on global prices.
How the U.S. and China Influence Prices
The demand for industrial metals is most heavily influenced by major economies, where high-tech manufacturing, automotive production, electronics, and infrastructure projects are concentrated.
“Global prices for precious metals are most heavily influenced by industrial giants such as the U.S. and China,” emphasized the president of the Ukrainian Jewelers’ Union.
Increased production of electronics, automobiles, and energy equipment boosts physical demand for silver. At the same time, investors may purchase it as a more affordable alternative to gold, further accelerating price movements.
Why Gold Has Been Rising in Price for Many Years
Gold has been in a long-term upward trend for two decades. According to Vydolob, the systematic rise in price began as early as the second half of 2005.
“Gold has been rising steadily in price since the second half of 2005 and continues to do so today. Silver has only begun to rise rapidly in price in recent years,” the expert said.
Among the factors supporting the price of gold are:
- purchases of the precious metal by central banks;
- geopolitical instability;
- inflation risks;
- fluctuations in the dollar;
- investor demand for safe-haven assets;
- limited ability to rapidly increase production.
According to the World Gold Council, total demand for gold reached 1,231 metric tons in the first quarter of 2026. In monetary terms, it rose by 74% year-over-year—to a record $193 billion.
Why Rising Jewelry Prices Are Inevitable
Gold and silver are the primary raw materials for the jewelry industry. Manufacturers of new collections are already forced to purchase metals at higher prices, so the cost of production is gradually rising.
“Prices for key raw materials—and precious metals are certainly among them—will naturally affect retail prices for jewelry. That’s how it works all over the world,” Vidolob noted.
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As reported by [Komersant], some Ukrainian retailers are currently keeping prices stable by drawing on old inventory and reducing their own margins. However, this effect is temporary.
“There is a direct correlation with the time lag. Prices are kept at a lower level until the very last moment, as long as it’s still possible to keep them that way,” the expert explained.
According to his estimate, the current price per gram of gold in finished jewelry could be 6,200–7,000 hryvnias, although some chains are currently offering items for about 4,900 hryvnias per gram.
This difference will gradually narrow once old inventory is sold off and new products arrive.
Exactly how much could prices rise?
It is incorrect to directly apply the percentage increase in the price of gold or silver to a finished piece of jewelry. The metal is an important component of the final price, but not the only one.
The cost also includes:
- the complexity of manufacturing;
- the work of designers and jewelers;
- precious stones;
- rental and logistics costs;
- taxes;
- advertising costs;
- markup.
Therefore, for example, a certain percentage increase in the price of silver does not mean that silver jewelry will automatically become that much more expensive.
However, if global prices remain high for an extended period, manufacturers and retailers will inevitably have to adjust their prices. This is most likely to be noticeable in new collections and items with a high metal content.
Buyers should verify the origin of jewelry
Against the backdrop of high precious metal prices, the risks of counterfeit products and items with inaccurate markings are on the rise.
In July, the Economic Security Bureau of Ukraine reported the uncovering of an underground jewelry production operation in Odesa. Detectives seized counterfeit gold jewelry worth nearly 4.6 million UAH, and the illegal use of the trademark, according to the investigation, caused the rights holder losses of nearly 30 million UAH.
Therefore, when purchasing jewelry, it is important to check the hallmark, the tag with the product’s specifications, the weight, the metal fineness, and the seller’s reputation. A price that is significantly lower than the market rate may be due to old inventory or a sale, but it still requires further verification.
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