The year 2023 has seen remarkable and unpredictable shifts in the price of silver. After fireworks and a strong start at the beginning of the year, the pandemic took a toll on the metal’s purchasing power. Since late spring, the price of silver began its rapid decline, finally reaching a low of $18.45 per ounce in August.
It was not until the fall that a rebound began to be felt, as investor confidence returned to the markets. This boosted the price of silver, which recently reached a new peak not seen since 2018. The price of silver was up by 57% over twenty-three months, and the silver spot price is currently hovering just below $29 per ounce.
This surge in the silver market has been attributed to a variety of factors, many of which are connected to recent fiscal policies. For instance, the Federal Reserve has made it clear that it will be willing to keep interest rates low in order to help stimulate the economy. This increase in the money supply is likely to increase investment demand, and because silver is a popular investment asset, this has pushed up its price.
In addition, geopolitical tensions have also been seen to raise the cost of silver. This includes the ongoing conflict between the U.S. and China, which has caused economies around the world to be uncertain. An increase in perceived risk often makes investors wary, and as a result, they turn to silver as a safe-haven investment.
Furthermore, the precious metal’s use in a variety of industries has been increasing steadily throughout the year. This includes electronics, aerospace, and even medicine, as silver has become a key element in a variety of products.
Overall, 2023 has been an unpredictable and exciting year for the silver market. With the asset increasing in value by 57% since the beginning of the year, it is no wonder that so many investors have taken a closer look at the metal. With continued economic instability and rising prices, it is likely that silver will experience further price increases before the end of the year. As we look forward to the future and investors continue to monitor the silver market, we may expect even greater gains for the metal in the coming year.