Supply and Demand Dynamcis Shows Silver is Undervalued

Silver is currently underpriced when considering the supply and demand dynamics for 2023. The Silver Institute’s preliminary projections suggest a record industrial demand for silver, leading to a significant market deficit. At the Silver Industry Dinner in New York City, it was revealed that industrial silver demand is expected to surge by 8% to an unprecedented 632 million ounces. This increase is fueled by investments in photovoltaics, power grids, 5G networks, consumer electronics, and vehicle production. However, this industrial demand is contrasted by a projected 21% decline in physical investment demand for silver coins and bars, primarily due to reduced investment in India and Germany, influenced by high local prices and tax changes, respectively.