Quotes on Silver Fishing
Rising Metal Prices: Here's What's Driving the Trend
Silver and other industrial precious metals are hitting unprecedented highs. The start of the month saw silver prices touching a 13-year peak, thanks to a 2% jump to $36.68 per ounce on June 9th - the highest since February 29, 2012. This surge follows an 11% increase since the beginning of the month. Platinum and palladium have experienced even sharper increases, with platinum prices jumping 15% to $1,215 per ounce, and palladium prices rising by 12% to $1,089 per ounce. Gold prices have inched up by just 1% to $3,322 per ounce.
Combining economic optimism with technical factors, investors are betting big on these metals. U.S.-China trade talks resuming have lowered economic risks, creating a more favorable environment for these metals, which have cyclical demand tied to the global economy. In fact, industry and jewelry accounted for over 76% of global silver consumption in 2024, while over 95% for platinum and over 97% for palladium.
As more investors abandoned gold, given its recent stagnation, they began shifting their focus to silver, platinum, and palladium. "In a situation where gold has already significantly increased in price and further movement is becoming more difficult, investment interest may shift to other precious metals," notes BKS Mir Investments' expert Lyudmila Rykotyaniskaya.
The investment demand for silver has been on the rise as well. Last week, assets of all silver ETFs increased by 334 metric tons to 23,400 metric tons, the highest level since May 25, 2023. Despite the increasing prices, some analysts believe the $50 per ounce target for silver is still a possibility, though unlikely at present.
Extending the Ban on Scrap Precious Metals Export
In the coming days, metal prices will depend on the success of U.S.-China negotiations. Dmitry Skryabin, portfolio manager at Alfa Capital Management Company, believes that if the global economy can dodge recession risks, silver demand will grow along with prices. Analysts at FG "Finam" predict the next silver price target to be $37-40 per ounce.
In conclusion, a mix of economic factors, investor sentiment, supply and demand dynamics, and geopolitical events play a significant role in shaping the price trends of industrial precious metals. All eyes are on the U.S.-China trade talks, hoping they can lead to a reduction in economic risks and a boom in the precious metals industry. Although historical data shows that trade disputes can lead to increased volatility, the current resumption of talks seems optimistic.
- Amidst the economic optimism, a surge in interest for investing in technology-driven finance has emerged, as investors are increasingly considering precious metals like silver, platinum, and palladium, viewing them as potential alternatives to stagnant gold.
- In the world of finance, the developments in technology continue to drive significant changes. With the continuing rise of metal prices and the increasing investment demand for precious metals like silver, investors are keenly exploring advanced technologies, such as data analysis and blockchain, to predict future pricing trends and make informed investment decisions.
