Summary
The price of silver has reached a record high, surpassing $60 per ounce. This increase is due to expected interest rate cuts by the U.S. Federal Reserve and high demand from the technology industry. As interest rates come down, investors often buy silver as a safer investment option.
Key Facts
- Silver's price hit over $60 an ounce on the spot market for the first time.
- Demand for silver is strong because it is used in technology, such as electric vehicles and solar panels.
- The U.S. Federal Reserve is expected to cut interest rates, leading investors to buy silver and other precious metals.
- As interest rates decrease, the return on cash and short-term bonds lessens, making silver more attractive.
- Gold has also seen price increases due to similar economic concerns and investor behavior.
- Silver production has decreased in recent years due to low investment and mine closures.
- Manufacturers are trying to secure silver supplies to avoid production disruptions.
- Silver's price has more than doubled this year, rising faster than gold.
