Above, 2024 American Silver Eagles. Photo by Armand Vaquer. |
While gold has dropped some in value, silver is on the rise this year. For those of us who invested in it while its spot price was in the 20s, this is good news. Currently, COMEX silver spot price is around $30/toz.
The reason for silver's rise in its spot price: industry.
According to Kitco News:
(Kitco News) – The global silver market is on pace to record a physical deficit in 2024 for the fourth consecutive year, with the growth of demand from industry the main driver, according to the latest Interim Silver Market Review from the Silver Institute released Tuesday evening.
“Record industrial demand and a recovery in jewelry and silverware will lift demand to 1.21 billion ounces in 2024, while mine supply will rise by just 1%,” they said. “Exchange-traded products are on track for their first annual inflows in three years as expectations of Fed rate cuts, periods of dollar weakness and falling yields have raised silver’s investment appeal.”
The report was authored by Philip Newman, Managing Director at Metals Focus, and Sarah Tomlinson, Director of Mine Supply at the Silver Institute, and it features the latest price, supply and demand data for the current year.
“The silver price has posted a remarkable rally during 2024-to-date, nearly touching $35 for the first time since 2012,” they wrote. “Through to November 7, prices have surged by 34% since the beginning of this year. Leaving aside a brief drop to a three-year low of 73, the gold:silver ratio has largely held between 80 and 90 so far in 2024.”
To read more, go here.
No comments:
Post a Comment