This week, both gold and silver products were on a high—gold on a one week high and silver experiencing an 11-month high point. After several years of losses, silver rose 11 percent this month—a substantial rally in what has become a banner year for gold. Up more than 23 percent since the start of 2016, silver is currently the best performing precious metal, though prices for others such as copper are rising as well.
When it comes to precious metals, what sets silver apart from the rest are its industrial uses, especially with demand from certain emerging economies across the globe, particularly China. Economic growth in China is one of the largest factors behind the surge in silver demand, as well as platinum and other precious metals. Both the European and United States economies are expected to grow both this year and next, which boosts silver’s potential even more.
The United States Mint
Earlier in April, The United States Mint‘s authorized buyers depleted the inventory of American Eagle Silver bullion coins—all 1,036,000 ounces—in three days, prompting a new Silver Eagle allocation to be made available soon after in the amount of one million coins. Demand continued to soar, depleting most of this new allocation in a matter of days.
At present, The United States Mint is on track for its biggest year in history for sales of silver bullion—an excellent way to celebrate the 30th anniversary of American Eagle bullion coins. Experts predicted that 2016 would leave last year’s record-breaking Silver Eagle sales of 47 million ounces in the dust—and sales have already exceeded almost 38 percent of last year’s total amount sold.
Many are bullish about the continued rise of silver prices, as the demand for solar panel installations continues to grow, in turn, contributing to the rising demand for silver and other precious metals.
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