| Key for Investors: Is the Demand for Silver Growing? | |
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Analyzing Gold and Silver Ahead of the FOMC's Meeting Outcome (Continued from Prior Part) Silver rose in the past month
Silver futures on COMEX, the commodity division of NYMEX, is the only precious metal that rose on a YTD (year-to-date) basis. Other precious metals saw a fall in their prices. Silver futures have encountered a rise in its price of 9.4% on a 30-day trailing basis. As of Tuesday, October 27, silver’s trading price closed at $15.90 per ounce. It lost 0.26% from the previous day’s close.
Silver-backed ETFs like the leveraged ProShares Ultra Silver ETF (AGQ) and the Global X Silver Miners ETF (SIL) saw a rise in their prices of 17.2% and 18.8%, respectively. Mining companies that rose due to a rise in silver’s price include First Majestic Silver (AG), Silver Wheaton (SLW), and Pan American Silver (PAAS). These three companies rose 21.1%, 23%, and 31%, respectively, on a 30-day trailing basis. Together, they account for 7.2% of the Market Vectors Gold Miners ETF (GDX).
Growing demand
An important factor that affects the demand for silver is its increased use for solar energy. The amount of silver required for a solar panel is relatively high. It needs about 20 grams of silver. The figure is large if we compare the almost 250-mile grams of silver used in telephonic devices—compared to other electrical appliances that have an above-average demand for silver. Known as “the poor man’s gold,” silver is used as a hedge against global uncertainties, just like gold. However, the extensive industrial use pushes the metal as the economy grows.
We all know that the demand for solar energy is rising. Since silver is a crucial element in this form energy, it could also experience high growth for the foreseeable future.
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Silver Wheaton
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PRODUCER |
CODE : SLW.TO |
ISIN : CA8283361076 |
CUSIP : 828336107 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Silver Wheaton is based in Canada. Silver Wheaton produces silver, copper, gold, lead, silica and zinc in Canada, in Greece, in Mexico, in Peru, in Portugal and in Sweden, develops copper, gold, silver and zinc in Canada and in Chile, and holds various exploration projects in Argentina and in Portugal. Its main assets in production are ZINKGRUVAN in Sweden, KENO HILL (BELLEKENO) and MINTO MINE in Canada, SAN MARTIN - LUISMIN, PEÑASQUITO, LUISMIN and G-9 CAMPO MORADO in Mexico, YAULIYACU in Peru, STRATONI in Greece and NEVES-CORVO in Portugal, its main assets in development are PASCUA LAMA in Chile and KUTCHO CREEK in Canada and its main exploration properties are PROMOTORIO DURANGO and MONTOROS in Mexico, ALJUSTREL in Portugal and LOMA DE LA PLATA (NAVIDAD) in Argentina. Silver Wheaton is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 12.6 billions as of today (US$ 9.2 billions, € 8.4 billions). Its stock quote reached its lowest recent point on March 09, 2007 at CA$ 10.01, and its highest recent level on May 15, 2017 at CA$ 28.53. Silver Wheaton has 441 520 000 shares outstanding. |