Silver Prices: Experts are sure that silver prices are showing drops.. Is that the real reason? | Experts say that silver prices are likely to increase significantly in the coming days Telugu Business News IG News

It is known that after the war between Russia and Ukraine, the price of oil and gold also increased. Day by day the price of gold is increasing as if there is no way to reduce it. But along with gold, silver prices are also increasing…

It is known that after the war between Russia and Ukraine, the price of oil and gold also increased. Day by day the price of gold is increasing as if there is no way to reduce it. But along with gold, silver prices are also increasing drastically. Supply of silver is likely to fall short of demand for the second consecutive quarter. Along with this, the softness in the dollar is also contributing to the rise in silver prices. Last month, domestic silver price rose by 8 percent to Rs 61,000 per kg. The price of silver is trading at 21 dollars an ounce in the international market, which has increased by 21 percent.

According to a report, in the last 2 years, the growth in silver demand has been higher than the supply. Demand is likely to exceed supply by 19 percent by 2022. In 2021, the demand will be 5 percent higher than the supply, and in 2022, the international demand for silver will increase by 16 percent, reaching a record level of 34,303 tons. As the demand for silver increases and the supply decreases, there is a shortage in the supply of silver in the international market as well. Shortage in silver supply is likely to reach a record level of 5455 tonnes this year.

These coins are 4 times larger than the silver shortage in 2021. It is worth noting that apart from being a precious metal, silver is also used in industrial purposes. 44 to 45 percent of the international consumption of silver is used for industrial purposes. In 2022, international silver demand is likely to increase by 5 percent. Along with this, the investment demand in silver is likely to increase by 29 percent. Demand for silver jewelery is likely to increase by 18 percent. A rise in the US dollar in November also supported the rise in silver prices. With the decline in retail inflation in the US, the US Central Bank is likely to reduce its aggressiveness on interest rate hikes.

This contributes to dollar softness. The U.S. dollar index fell 3 percent after the U.S. retail inflation report released on Nov. 10. But, will higher international demand for silver lead to an increase in silver prices? The big question is whether silver can be invested at the current price? According to market sources, the demand for silver is likely to increase in industrial needs as well as investments in the coming period. Apart from this, there is no possibility of interest rates increasing in America. This in turn increases pressure on the US dollar. In both these cases there is support for rising silver prices. Silver prices are likely to reach 65,000 per kg by the end of December. So it is better to consult your financial advisor before investing in silver.

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