The Silver Swings

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February 20, 2017
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Silver’s a pretty sought after metal. However, unlike gold, silver swings between its value as a storage metal and its very apparent role as an industrial commodity, needed for manufacturing. this is why, you’ll find silver’s price fluctuations a lot more volatile.

For the hoarders (investors in other words ;)), silver is traded in line with gold, However, the industrial supply and demand factors means an equally strong pull on the price at which it trades. Some of the reason that silver’s price fluctuated over the course of time and will continue to do so:

  1. Silver photographic film that was used in the old school cameras, which was a massive demand, now replaced by the onset of digital cameras.
  2. The global rise of a middle class that wanted the electrical goods. The component in these electrical goods utilise silver in production, for bearings to electrical connections. Silver does play a role in the composition of drugs as well, making it a desired commodity
  3. Silver’s also used in batteries, super conductor applications and microcircuit markets. This in other words, includes the stuff going into your video/audio cables to mobile phones.

Not easy to predict, how much this non investment side of demand will fluctuate the price of silver. But you can rest assure, silver’s demand will be affected by its application as much as being in fashion for investment.

If you really wanna find more information on investing in silver, then you have this resource, where you’ll find the top 10 books on investing in silver

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