• Connect with us
    • Information
      • About Us
      • Contact Us
      • Careers
      • Partnerships
      • Advertise With Us
      • Authors
      • Browse Topics
      • Events
      • Disclaimer
      • Privacy Policy
    • Australia
      North America
      World
    Login
    Investing News NetworkYour trusted source for investing success
    • North America
      Australia
      World
    • My INN
    Videos
    Companies
    Press Releases
    Private Placements
    SUBSCRIBE
    • Reports & Guides
      • Market Outlook Reports
      • Investing Guides
    • Button
    Resource
    • Precious Metals
    • Battery Metals
    • Base Metals
    • Energy
    • Critical Metals
    Tech
    Life Science
    Precious Metals Market
    Precious Metals News
    Precious Metals Stocks
    • Precious Metals Market
    • Precious Metals News
    • Precious Metals Stocks
    silver investing

    Silver Institute: Brighter Days Ahead for White Metal

    Georgia Williams
    Feb. 12, 2020 04:55PM PST
    Precious Metals
    Silver Investing

    Silver remains rangebound below US$18 an ounce, but the Silver Institute is forecasting that the precious metal will make gains this year.

    The silver price remains rangebound, stuck below US$18 an ounce, but the Silver Institute is forecasting that the white metal will make gains this year, propelled by interest in the safe haven asset class and increased use in the industrial sector.

    In early January, gold’s sister metal benefited from the precious metals rally that came as international relations between the US and Iran hit a fever pitch.

    However, the metal fell below US$18 on January 3 and has been unable to break past the US$17.80 threshold ever since.

    While the Silver Institute is optimistic that silver will end up making gains in 2020, the group is cautious about the effect that the coronavirus — which has been renamed COVID-19 by the World Health Organization — is having on China’s economy and its industrial sector as a result.

    “Growth in silver industrial offtake (accounting for just over half of total demand in 2019) is expected to resume in 2020, reversing two years of marginal losses,” reads the report. “While weak economic conditions, particularly in China, remain a headwind to industrial output, a repeat of last year’s de-stocking along the supply chain (as a result of the trade war) is unlikely.”

    The Silver Institute is forecasting a 3 percent increase in silver demand for this calendar year. Interest in silver-focused exchange-traded funds is expected to remain high during the period, as will purchases of physical silver, which are estimated to rise for the third consecutive year, gaining 7 percent in 2020.

    After five years of dwindling mine production, silver output is anticipated to climb by 2 percent as a result of newly commissioned mines and ramp ups at existing projects.

    The Silver Institute expects there to be a 15 million ounce surplus at the end of the year.

    “The outlook for silver remains positive, with the annual average price projected to rise by 13 percent to a six-year high of US$18.40 in 2020,” the report notes. “This rally is premised mainly on a positive spill-over from gains in gold, as the yellow metal will continue to benefit from macroeconomic and geopolitical uncertainties across critical economies.”

    Ultimately, the group foresees the white metal outshining gold.

    “However, the weight of institutional money flowing into a relatively small market should prove sufficient for silver to outperform gold and could cause the gold/silver ratio to drop to the mid- to high-70s later this year,” the Silver Institute explains.

    The current price of silver is US$17.45.

    Don’t forget to follow us @INN_Resource for real-time news updates!

    Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.

    silver investingthe silver institutechina
    The Conversation (0)

    Go Deeper

    AI Powered
    Silver bars on pile of $100 bills and green chart going up.

    Could the Silver Price Really Hit $100 per Ounce?

    Silver bars in front of newspaper showing high price performance.

    What Was the Highest Price for Silver?

    Latest News

    Underground Production Commences Reward Gold Mine Project

    High-Grade Gold Identified Within Kamperman Pit Shell

    Prismo Metals Announces Closing of Oversubscribed Private Placement

    Lode Gold Completes Final Tranche Financing for Total $1.51 Million

    OTCQB Venture Virtual Investor Conference: Presentations Now Available for Online Viewing

    More News

    Outlook Reports

    Resource
    • Precious Metals
      • Gold
      • Silver
    • Battery Metals
      • Lithium
      • Cobalt
      • Graphite
    • Energy
      • Uranium
      • Oil and Gas
    • Base Metals
      • Copper
      • Nickel
      • Zinc
    • Critical Metals
      • Rare Earths
    • Industrial Metals
    • Agriculture
    Tech
      • Artificial Intelligence
      • Cybersecurity
      • Gaming
      • Cleantech
      • Emerging Tech
    Life Science
      • Biotech
      • Cannabis
      • Psychedelics
      • Pharmaceuticals

    Featured Precious Metals Stocks

    Silver47 Exploration

    AGA:CC

    Apollo Silver

    APGO:CA

    Anteros Metals

    ANT:CC

    Silver Crown Royalties

    SCRI:CC

    Boab Metals Limited

    BML:AU

    Prismo Metals

    PRIZ:CNX
    More featured stocks

    Browse Companies

    Resource
    • Precious Metals
    • Battery Metals
    • Energy
    • Base Metals
    • Critical Metals
    Tech
    Life Science
    MARKETS
    COMMODITIES
    CURRENCIES
    ×