After a strong start to the year, silver should remain supported by record industrial usage and a supply deficit, according to the Silver Institute.
Industrial consumption hit an all-time high in 2023, and is expected to expand another 9% this year, driven by green-related applications such as solar panels, the institute said in its World Silver Survey report on Wednesday. That will help the metal record a fourth straight annual supply shortage.
Silver, known as the devil’s metal because of its often wild swings, is trading near a three-year high, as it tracks a rally in gold that has partly been fuelled by demand for a haven amid geopolitical tensions. Silver prices will be underpinned by the persistent deficit, said Philip Newman, the managing director of consultancy Metals Focus, which was commissioned to produce the report.
Silver has rallied 20% already this year to trade at about US$28.55 an ounce in London on Wednesday. Prices could hit US$30 in the near term, Newman said in an interview.
Here are some key figures from the report:
- Bloomberg
Created by Tan KW | May 01, 2024
Created by Tan KW | May 01, 2024
Created by Tan KW | May 01, 2024