Silver Volatility Hits COMEX: Glitches, Record Deliveries Signal Tight Supply Amid $90 Price Surge

COMEX silver futures experienced multiple glitches and 39 million ounces in recent deliveries, fueling speculation of a supply crunch as spot silver holds near $90 despite recent swings from $120 highs.

COMEX silver futures glitched multiple times since Thanksgiving, with circuit breakers failing and prices reopening hours later down sharply, as reported in recent market analysis. These technical disruptions coincided with February's non-primary delivery month seeing roughly 25 million ounces delivered, followed by an additional 39 million ounces moved off the exchange. Spot silver traded around $90 per ounce on March 13, after a volatile path that spiked to $120 before correcting to $70 lows.

As of: March 14, 2026

Dr. Elena Voss, Senior Precious Metals Analyst. Tracking COMEX flows and industrial demand shifts for European investors.

COMEX Glitches Expose Delivery Pressures

Silver futures on COMEX triggered circuit breakers that malfunctioned four times since late November, according to trader Andy Schectman. Prices surged, only for trading to halt and reopen lower by $4 in one instance, four hours delayed. This occurred amid heightened delivery activity, where physical metal is transferred from seller to buyer accounts. February, not a main delivery month, logged about 25 million ounces delivered - notable but not record-setting over 16 months. More strikingly, 39 million ounces then exited COMEX warehouses entirely.

Physical movement of this scale raises questions: a standard mint box of 500 silver eagles weighs 42 pounds. Transporting 39 million ounces equates to massive logistics, signaling buyers securing metal off-exchange. Schectman highlights this as evidence of tightening supply, distinct from paper futures trading.

For spot silver, these events underscore physical demand outpacing registered stocks. Current COMEX eligible silver inventories stand low relative to open interest, amplifying volatility risks. Investors watching futures should note: deliveries confirm real metal claims, unlike ETF shares or miner stocks.

Bank of America Forecast Adds Fuel

Bank of America's head of metals research, Michael Widmer, projects silver reaching $135 to $309 in bullish scenarios, per recent commentary. The bank's strategy team more conservatively eyes $39 by year-end under strong demand. These views tie to multi-year supply deficits, now in their fourth year, per Silver Institute data cross-referenced in discussions.

Interpretation separates here: Widmer's high-end call reflects extreme industrial squeeze, while base case aligns with consensus. Confirmed fact: global silver mine supply lags demand by 200+ million ounces annually. Interpretation: COMEX glitches suggest paper markets struggling to price physical scarcity.

Silver price today reflects this tension, stabilizing near $90 after $50 swings ($70-$120). Gold-silver ratio widened during correction, now contracting as silver catches up - key for ratio traders.

Miner Leaders Confirm New Economics at PDAC

At PDAC convention, executives from Pan American Silver, Hecla Mining, Endeavour Silver, and First Majestic detailed responses to $90 silver. Pan American reports stable costs, even declining on silver equivalent basis after low-cost acquisitions, boosting margins versus prior runs. Production growth targets 14% silver increase this year, plus 15-18 million ounces from expansions.

Hecla views volatility as 'fabulous,' planning conservatively but generating free cash flow at current levels. Endeavour eyes $150-$175 silver, balancing growth and value. First Majestic notes institutional inflows and physical demand surge, planning at $90 assumptions. All affirm silver's critical mineral status for electrification, excluding its investment role.

These updates matter for silver ETCs popular in DACH: miners benefit asymmetrically from price jumps, unlike spot bullion. European investors via Xetra-Gold or physical vaults see direct spot exposure, less miner leverage.

Industrial Demand Locks In Gains

Silver's strategic role in solar PV, EVs, and defense cements demand. Miners label it 'sticky' and 'critical' - not cyclical like base metals. Global electrification requires silver conductivity; one reason for recent price moves, per PDAC panels. Supply response lags: new mines take 5-10 years.

For Europe, solar demand surges - Germany added 16 GW capacity in 2025, per Bundesnetzagentur, each GW needing ~100 tonnes silver. DACH investors face euro weakness versus dollar-denominated silver, amplifying returns. ECB rate path supports via softer real yields, unlike Fed hawkishness.

Silver latest shows divergence: while gold remonetization talk rises (central banks bought 1,000+ tonnes 2025), silver's industrial 50% demand share drives unique beta. ETF flows, though not detailed today, likely followed volatility - risk-off outflows on $120 spike, now rebuilding.

European Investor Angle: Hedging Euro Risks

English-speaking Europeans track silver for inflation hedging amid ECB divergence. Spot silver priced in USD gains from euro depreciation (EURUSD ~1.05), boosting local purchasing power. Swiss vaults see inflows; Austrian/German ETCs like WisdomTree Silver offer Xetra access without physical storage.

DACH context: industrial giants like Siemens, Infineon ramp silver use in chips/renewables. Geopolitical tensions - Ukraine, Middle East - boost safe-haven bid, though silver lags gold initially. Gold-silver ratio at 80:1 suggests silver undervalued for catch-up.

Risks: COMEX manipulation claims unproven; volatility persists. Confirmed: deliveries up, glitches real. Interpretation: potential squeeze if industrial buyers front-run.

Near-Term Catalysts and Positioning

Watch March delivery month, Silver Institute Q1 report, Fed minutes for yield clues. Bull case: continued deficits push $100+; bear: recession caps industrial at $70. Miners positioned for free cash at $90; spot holders face contango in futures curve.

Sentiment tilts bullish post-PDAC, with $150+ calls from Endeavour. For DACH: allocate via physical or ETCs, hedge USD exposure. Silver today volatile but structurally firm.

Positioning data (CFTC-style) likely shows specs long, commercials short - classic squeeze setup. Gold correlation high but silver's volatility premium suits tactical trades.

Disclaimer: Not investment advice. Commodities and other financial instruments are volatile.