"Despite the recent pullback, silver's decline appears corrective within a broader bullish structure. The move aligns with a brief uptick in Treasury yields still contained within a wider downtrend, suggesting a cyclical rather than structural phase. Robust industrial demand, persistent safe-haven flows, favourable monetary conditions, and consumers shifting from expensive gold jewellery toward silver all reinforce a constructive long-term outlook."
"According to The Silver Institute's October report, the market's positive trajectory continues to be underpinned by a rare convergence of financial demand, supply constraints, and technological innovation. One of the strongest pillars of support comes from robust investment demand through Exchange-Traded Products. By midyear, over 95 million ounces of silver were allocated to ETPs, already surpassing the total for 2024, signalling strong conviction among investors seeking portfolio hedges amid persistent economic uncertainty."
"Structural supply deficits further reinforce the bullish argument. The silver market is now in its fifth consecutive year of deficit, with global demand consistently exceeding mine output. The Institute notes that industrial demand, particularly in electronics and renewable energy, remains the key driver of this imbalance. These shortages add sustained upward pressure to prices, setting the stage for potential recovery once speculative corrections subside."
Silver extended short-term losses below $48 per ounce but remains in a corrective phase within a broader bullish structure. A brief uptick in Treasury yields appears cyclical and remains contained within a wider downtrend. Robust industrial demand, safe-haven flows, favourable monetary conditions, and consumers shifting from expensive gold jewellery toward silver support constructive long-term demand. Large ETP allocations — over 95 million ounces by midyear — reflect strong investment inflows. The market has endured five consecutive annual supply deficits, driven by electronics and renewable-energy demand, keeping sustained upward pressure on prices.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]