Silver is a greyish-white metal with a soft and shiny appearance. Silver is a chemical element with the atomic number 47, and Ag as its chemical symbol. It is found in lead and copper ores, and it’s used to make coins, art pieces, jewellery, and utensils. Currently, silver metal is used in industrial applications, photography, electronics, and dentistry.
Silver, like oil, is used for thousands of industrial processes in day-to-day conveniences like batteries and solar energy. The demand for silver is inelastic, and even if the price goes up, there are particular industries that cannot do without it. For example, computer and smartphone companies will still use it and pass on the cost per unit to consumers.
There was a substantial loss in silver investment last year leading to a double-digit percentage decline in prices. However, investors believe the price this year will be higher than ever before. This is because silver can be bought invisibly and quietly by anyone all over the world. Secondly, silver is used to boost inter-generational investments for the future. Thirdly, silver is a trustworthy means that can protect one’s savings from inflation, and lastly, savvy investors can now look at the possibility of purchasing physical silver considering the demand for silver coins has gone up to 300% in the U.S. alone.
Silver has a rare mix of industrial and precious metals, and the potential for growth in silver is very high this year. This is because the U.S. government has to buy it at the market price. Global demand for silver is more than its production, which means stocks are likely to be depleted. On the other hand, there are innovative methods coming up that require silver, which further strains the demand for the product. The rise in global demand for silver cannot be met due to the low supplies, and the silver market is offering a brilliant opportunity for silver investment.