The Silver Institute supply/demand numbers - as bullish as it’s possible to get for a commodity. Silver premiums are soaring - US Eagle's around $40 per silver coin ounce. Silver could soar to $30-$40 per ounce.
I’m convinced short sellers on SLV short the shares for the precise purpose of evading depositing the required metal to avoid putting upward price pressure on silver and the shares of SLV. That’s why I have never hesitated in lodging formal complaints with the S.E.C. and BlackRock...
Of all the major demand categories, arguably the biggest driving force is silver’s industrial importance. It is estimated that approximately 60% of today’s silver is used for industrial purposes such as electronics, solar cells, automotive and soldering, with the remaining 40% available for investment.
The survey then goes on to (try to) explain that despite the axiom of the law of supply and demand that more demand than supply (by a large margin) must result in higher prices, that silver prices were lower on average over the year 2022 than the year before.
Silver is in a multi-decade downtrend dating back to 1980. The silver price needs to be $184 today to match its 1980 intraday high of $49. Silver at $25 oz. today is the equivalent of $8 oz. in March 1980.
The safe-haven boost will also trickle down to silver, despite most of the metal’s demand being from industrial activities. “Silver has historically delivered gains of close to 20% per annum in years inflation is high”
There can be little doubt that those shorting shares of SLV, the largest silver ETF in the world, are doing so because the required amount of physical silver is not available to secure and deposit as required by the prospectus.