Si Iver's Silver 2024 Year in Review

Here are the top 10 reasons why silver has performed well over the last year and five years:

Last Year:

1. Industrial Demand Growth: Increased use of silver in industries like solar energy, electronics, and electric vehicles drove demand, particularly in green technologies.

2. Federal Reserve Policy: Anticipation of lower interest rates in the U.S. boosted precious metals like silver as attractive stores of value.

3. Global Economic Recovery: Post-pandemic economic recovery spurred industrial activity, which is a significant driver of silver consumption.

4. Supply Constraints: Declines in mining output from key producers like Mexico and Peru created supply shortages.

5. Geopolitical Instability: Uncertainty in global politics and trade has led investors to favor precious metals for risk mitigation.

Over the Last Five Years:

6. Green Energy Transition: The global shift to renewable energy has significantly increased silver demand, particularly in photovoltaic (solar) applications.

7. High Gold-to-Silver Ratio: Historically high ratios made silver appear undervalued compared to gold, attracting long-term investors.

8. Rising Inflation and Currency Depreciation: Silver, like gold, acts as a hedge against inflation, drawing investment during periods of rising consumer prices and weaker currencies.

9. Record Investment Demand: The silver market saw record inflows into silver ETFs and physical bullion, driven by retail and institutional investors.

10. Technological Innovations: Advances in medical technologies and the rise of 5G have expanded silver’s industrial applications.

These factors highlight silver's dual role as both an industrial commodity and a financial asset, driving its robust performance over these periods.