Silver Analysis – November-22-2023

Silver‘s value climbed to its highest in over two months, surpassing $23.8 per ounce in November. This significant rise paralleled the surge in US Treasury securities, fueled by signs of a decelerating economy, which alleviated fears of the Federal Reserve’s aggressive policy stance. Recent data indicating a drop in consumer inflation and an uptick in unemployment claims suggested a potential easing in the labor market, influencing the market dynamics.

Silver Analysis Daily Chart

Moreover, the supply-demand equation for industrial silver has become a focal point. Robust demand and concerns over supply gave silver prices an additional boost. The Silver Institute has projected a 2% decrease in global silver mining for 2023, mainly attributed to reduced production in Mexico and Peru, key silver-producing nations.

Concurrently, the surge in investments in solar panels, power grids, and 5G networks is driving expectations of an 8-10% rise in silver demand, further influencing its market value.