Silver shed 27% percent of its Q3 gains!

Silver momentum remained upward 

What happened in the silver market in Q3? Silver price update is here & that covers supply, demand and other key factors impacting the metal. 

Silver put in its best performance of 2020 in Q3, adding more than 60 percent to its value by mid-August. Surging to a seven year high, the metal neared US$30 per ounce. The price move created a value opportunity for investors. Pushed higher by precious metals demand, industrial declines had less of an impact on silver’s ascent than initially expected, meanwhile, heightened exchange-traded fund buying also factored into the metal’s push to US$29. 

However, silver’s strong momentum didn’t last by the end of September; the white metal had shed 27 percent of its Q3 gains to hold in the US$24 range. Silver’s upward momentum in Q3 came after a slow start to the year. The white metal began 2020 at US$18.02 and faced incredible headwinds late in Q1 as the markets fell sharply in response to domino-ing global Covid-19 lockdowns, which stunted supply chains and paralyzed international manufacturing.

Silver Price Forecast and Silver Stocks view remains dipping to an 11 year low of US$12.59, the road to recovery was quick as investors looked to jump into the market, while also looking for alternative currency metal investments. By July, silver had climbed back to its January value of US$18.02 and was positioned to rise rapidly. 

“We have a perfect storm to send both gold and silver higher,” Chris Marchese, senior analyst at GoldSeek told the Investing News Network midway through the year. He continued, “I think the second of half of 2020 is going to be great. There’s a lot of catalysts (that are) good for the precious metals, bad for mankind” said at INN Silver Report. 

Watch the video above to hear more from Marchese about the precious metals market. Concerns about a more prolonged economic recovery motivated both silver and gold throughout July as coronavirus infection stats rose. The yellow metal pushed up to US$1,976 per ounce, while sister metal silver was holding at US$24.47. 

During the Sprott Natural Resource Symposium in late July, mining entrepreneur Ross Beaty made the case for a rising silver price in the second half of 2020, saying the metal’s duality could be a key catalyst. “The thing about silver is you’ve got to understand not just the conditions in the precious metals market … but you’ve also got to understand what’s going on in the industrial market, because silver has all these industrial uses,” said the chairman and founder of Equinox.