Silver Demand
Industrial demand is anticipated to increase over 5% by year-end while jewelry and silverware fabrication are estimated to fall slightly. Lower jewelry production in Italy, Mexico, and the United States contrasts noteworthy gains in India and China this year.
Photographic silver use is also expected to drop by 10% in 2007. Demand for photographic silver continues to be affected by the overwhelming switch to digital technology. Silver use in consumer film has again been the hardest hit sub-sector and appears to be a terminally ill market. Coin minting also looks to have dropped a little in 2007 from the level recorded last year.
Silver investment demand is likely to remain positive despite being lower than in 2006. After good buy-side interest early this year, investment demand had slumped until recently, with a bit of selling from the more speculative short-term investors. Speculators were faced with disappointment after silver failed to sustain its break through $15 an ounce and recorded a subsequent setback in prices.
Lightning cracks the blackened sky,
Hear the thunder chariot ride
All brave men with hearts of war
Ride the path of mighty Thor
