Silver Hovers Near 14-Year High
Silver eased to $46 per ounce on Tuesday after touching the fourteen-year high of $47.2 earlier in the session amid risks to supply and a bullish outlook on demand, both for bullion and silver's industrial uses.
The Silver Institute projected the silver market will end the year at a deficit for a fifth consecutive time as global output is expected to total 844 million ounces in 2025, 100 million ounces short of demand. Bullion assets were supported by increased demand for safety, recently triggered by risks of a government shutdown in the US and the fiscal risks attached to signals of higher spending by Washington.
In industry, higher adoption of solar power also lifted the metal's appeal. China's solar installation grew slightly in August as pricing reforms drove companies to front-load installations earlier in June, but solar cell exports from the country were last seen surging by 40%. Strong industrial bets also included silver's use in consumer electronics and data centers.
Source: Trading Economics
