Silver has often played second fiddle to gold as far as precious metals go. But because of solar silver values might be about to change…to the upside.
Solar Silver: The Trigger for Higher Prices
For the last three years, silver has been trapped in a major bear market as investors have flocked to other investments. However, in addition to its precious metal status and obvious use in jewelry making, silver has a wide range of other industrial applications. One of its biggest applications for silver is in solar energy, and this is a real growth industry globally. Silver is used in photovoltaic cells because of its excellent conductive properties.
According to a recent article in the Daily Telegraph: “Industrial demand for silver is expected grow fivefold between now and 2018”. All this at a time when silver mining production has been decreasing globally because of slashed exploration budgets among miners and reduced demand due to the bear market in silver.
Apparently some shrewd investors have started to notice. The article goes on to say that, of late “Wall Street has bet big on silver”, with a number of hedge fund managers accumulating positions at current low prices.
How does the increasing demand for solar silver affect you?
What should the private investor do now? It would appear that now is a very opportune time to buy silver bullion for investment purposes. Silver price is still cheap. This may be a great time to accumulate an investment in silver, just like the hedge fund guys. Check out the prices at our preferred broker, Golden Eagle Coins. At the time of this writing, mid-May, 2015, 1 oz. silver bars can be has for well under $20.00 and 2015 American Eagle Silver Eagles can be purchased for a few cents over $20.00. Golden Eagle also carries business circulated 90% and 40% US silver coinage for collectors and investors at affordable prices.
Update November, 2015: Solar is expected to provide additional support going forward for silver prices, this according to Capital Economics: “Over the next few years, the price of silver should benefit further from governments’ increased focus on reducing global carbon dioxide emissions through investing in renewable energy. Solar energy is currently just a small portion of total silver demand but we expect it to increase in importance as the industry grows”.
Return to Homepage