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the essentiality of silvers industrial uses are overstated at best or simply too optimistic when looking forward and nowhere near crucial for anything - silver demand is stagnant or even slightly contracting. there is imo some kind of lid on the price and i tell you why that is.
the world wide above the ground silver supply ranges between 1mil tonnes to 1,7mil tonnes depending on who you ask. the yearly mining output is relatively constant at 26000 tonnes. lets take the most conservative view possible of one million tonnes silver ever mined, this equivalents
>32billion(!) ounzes, thats 32 000 million oz. [picrel overall estimated above the ground output of 1,6m tons equivaltents ±50billion oz]
>the yearly mining output in ounzes is ±850mil oz, half of that is used for industrial needs (for now)
ok, lets round generously up and say 500mil oz. for industrial uses - the rest is silverware, jewlery, coins&bars
without any mining operations going forward we would have industrial needs covered for 60+years from the known above the ground commodity held in mostly private hands. but mining doesnt stop and there is still juice left in mines. mainly from copper- & zinc-mines as silver as byproduct and from silver mines as well. if prices rise, mining operations turning more profitable balancing the output
it is reasonable to assume that as soon as the price would rise in any significance some of the already held stock would be released to the market in one form or the other. silverware and jewlery and also coin collections will normally get passed on thru generations if not sold before bc of liquidity needs and the inheritors are often not that attached to the pieces or simply need some money
sharply rising prices will/would also unlock the incentive and profitability to recycle already used silver since the margin naturally rise with the price
these are some events that would increase the supply for the silvermarket and would put a lid on price
GOLD. FRED GOT NONE
