The price of silver rose yesterday by 0.3% to settle at 75472, as the demand for silver climbed by 18% last year to a record high of 1.24 billion ounces, creating a huge supply gap and raising concerns about more shortages in the years to come. The institute’s most recent World Silver Survey indicates that in 2022, the silver market was undersupplied by 237.7 million ounces, which it called “possibly the most significant deficit on record.”
In addition to predicting a 142.1 million ounce shortfall this year, it said that the undersupply in 2022 and a 51.1 million ounce shortage in 2021 had eliminated the decade’s worth of cumulative surpluses. The organization claims that silver is in great demand from all major users, including jewelers, businesses, and purchasers of silver bars and coins. However, consumption is anticipated to slightly decline in 2023. India also imported a significant amount of silver last year.
The U.S. central bank should maintain raising interest rates, according to James Bullard, president of the St. Louis Federal Reserve, given that recent data show that inflation is persistent and that the overall economy appears to be poised for sluggish but steady growth. In response to claims that either a financial crisis, a recession, or both are imminent in the United States, Bullard made a comment.
Technically, the market is being shorted as open interest has decreased by -2.76% to settle at 11689 while prices have increased by 223 rupees. Currently, silver is receiving support at 74360, and a move below that level could result in a test of 73247 levels. Resistance is now anticipated to be seen at 76131, and a move above could result in a test of 76789.
