Silver has surged so much that one ounce of silver now costs more than a barrel of crude oil, which is historically unusual. This isn’t happening just because oil is cheap; it’s mainly because silver demand has exploded.
Global silver production has failed to keep pace with demand, creating severe supply tightness. Most silver is mined as a by-product of other metals, so even at higher prices, supply cannot be increased quickly or easily.
At the same time, industrial demand for silver is extremely strong. The metal is heavily used in solar panels, electric vehicles, electronics, batteries, and AI-related technology. Industrial users are now competing directly with investors for physical silver, further tightening the market.
Investment demand has also surged. Many investors are moving into silver as a hedge against inflation and currency debasement, while others see it as a leveraged play on gold. Increased buying through ETFs and futures markets has reduced the amount of available silver even further.
An Ounce of Silver Is Now Worth More Than a Barrel of Oil.
byu/blizzardboy123 ininvesting
Posted by blizzardboy123
10 Comments
Doesn’t make any sense to me.
Maybe it is not real demand, maybe some people (companies or countries included) are hoarding it causing an artificial demand.
I am not an expert in calling ends of trends but in stock market there is a distribution and accumulation phase, and people like me get on the bandwagon during the distribution phase because that’s when the hype is high.
This time though is different because we are moving from a 2% target inflation to a 4% target inflation (my take not the governments)
For now…
Selling my silver coins to diversify with barrels of crude
that old gramp from rich poor dad must be dancing lol he spent entire year saying he invest in silver
Can’t wait to sell my old silver sitting in thr closet aince 2007
parabolic moves in assets rarely end well, don’t be the one who buys the top.
There will be PLENTY of sellers
Im holding my silver and buying SLV puts
For those of you thinking about jumping on the silver bandwagon- DON’T.
That ship has sailed already. Silver is at record high prices right now. Unless you bought a year ago, or have a pile of silver your rich old uncle left you this is not your game.
We should not forget that there is a Country with literally zero foreign currency, a lot of commodities and a very costly war, while oil prices are down a lot.
Driving prices before or while selling.