Silver prices expected to break the magic historic barrier of USD 100 per ounce within weeks.
Europe is facing a real shortage of investment silver – physical stocks of the metal are melting away at an alarming rate, while demand in both the European Union and Poland is reaching record levels. Investment silver, traditionally treated as a capital safeguard in times of uncertainty, is becoming a deficit commodity. Mennica Skarbowa has to organize special transports to collect various silver products from all over Europe. Company representatives predict that the price of silver will break the historic barrier of USD 100 per ounce within a few weeks.
According to the latest global quotations, the price of an ounce of silver exceeds USD 90 and is the highest in years, rapidly approaching the psychological barrier of USD 100 per ounce – a level that may be exceeded within just a few weeks.
“The rising valuation of silver is being driven on the one hand by the ‘silver following gold’ phenomenon, meaning investors’ shift toward precious metals amid strong increases in gold prices, and on the other by geopolitical turmoil and market uncertainty in the Middle East, Latin America, and other regions of the world. Silver is expected to exceed USD 100 per ounce within just a few weeks. Six months ago, silver prices were significantly lower, fluctuating below the approximate threshold of USD 50–60 per ounce, while today the metal is priced at over USD 90 per ounce on global markets. This represents a value increase of nearly 50% in just six months. Market data confirms that silver has recorded one of the strongest increases among all investment commodities in recent months.” – comments Adam Stroniawski, Managing Director of Sales at Mennica Skarbowa.
The demand for investment silver, especially in the form of physical coins and bars, is so high that regular deliveries are not enough to meet investors’ needs. In response to the growing demand, Mennica Skarbowa has decided to send special shipments of metal to Poland and other European countries to ensure that customers have access to selected products.
“Silver, which just six months ago was widely available, has now become a scarce commodity. We respond immediately to market signals and dispatch additional special shipments across Europe, which are effectively searching for silver products. Demand for physical bars and coins is enormous — and according to market data, this trend will continue” – comments Adam Stroniawski.
Why is silver rising in price? The increase in silver prices is multidimensional in nature:
- Inflation and safe-haven assets: In the face of geopolitical uncertainty and inflationary expectations, investors are increasingly allocating capital to precious metals.
- The pursuit of gold: Sharp increases in gold prices are driving heightened interest in silver investments, particularly where safe-haven investments in gold have already become expensive.
- Industrial demand: Silver has a wide range of industrial applications, which further limits its availability on the investment market.
- Physical shortage: Local shortages of physical silver increase its premium over the stock market price, leading to an even greater inflow of investors seeking to acquire the metal ‘for themselves’.
Various silver products are available on the market. Investment silver coins – classic bullion coins, popular among collectors and investors. Silver investment bars – of various weights, ideal for investors investing larger amounts. Silver products are significantly cheaper than gold products. Approximate product price examples:
- 1 oz silver coin: approx. PLN 290–330
- 100 g silver bar: approx. PLN 1,100–1,300
- 1 kg bar: from PLN 12,000 upwards
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Mennica Skarbowa – Poland’s largest dealer of investment gold and other precious metals, listed on NewConnect, the alternative market of the Warsaw Stock Exchange. The company’s main business area is the sale of investment gold (bars and bullion coins), as well as other precious metals and diamonds and collectibles. The company’s products can be purchased in 16 branches: in Bialystok, Bydgoszcz, Czestochowa, Gdansk, Kalisz, Katowice, Kielce, Cracow, Lublin, Lodz, Poznan, Rzeszow, Szczecin, Warsaw, Wroclaw and Zielona Gora and through the website: mennicaskarbowa.pl.
