World Silver Survey 2021

“This [the impact of the pandemic] resulted in the largest silver market surplus since at least 2010, the earliest year for which Metals Focus tracks data. One notable exception was physical investment. A growing appetite for safe haven assets and, initially, the strength of the gold price all boosted investors’ appetite for silver bars and coins last year, culminating in an 8% rise overall. Investment in other arenas also experienced a vintage year in 2020, with record inflows into silver ETPs and, at times, also exceptionally strong OTC buying. Negative real interest rates and yields for the US dollar, as well as 30 most other major currencies, were arguably the single most important factor 60 driving investors towards precious metals last year.”

USAGOLD note: Annually, the report linked above provides a comprehensive look at the supply and demand picture for silver. It predicts 26% growth in investment demand for 2021 as investors continue to take metal out of the market against 8% gains respectively in mine production and recycling.