Silver imports into U.S. surge 33%- Silver Eagle demand very robust- Silver Eagles and Maples see 25% surge in premiums and shortages- Silver price falls over 3.8% on same day as U.S. Mint runs out of silver eagles- Total ETF Silver holdings remain robust – over 500 million ounces- Increase in demand seems to becoming from large entities buying bars- Silver is great value sub $20 per ounce
Demand for silver has been surging this year as seen in U.S. silver imports, while silver eagles coin sales and silver ETF holdings remain robust. Despite this, silver has again under performed other assets and has seen price falls again this year to multi year lows at $15 per ounce.
Silver imports into the U.S. have been substantially higher in every month so far this year compared to the same months last year according to the USGS data. So far, 2,035 metric tonnes have been imported into the U.S. this year – 33% more than the same period last year.
In the same period, industrial usage of silver has been fairly flat, the build-up in Comex inventories has been negligible and sales of U.S. Silver Eagles has been flat – partly because the U.S. Mint lacked the stock to meet demand.
Given that the three sources of demand listed above – which are typically the main sources of demand in the U.S. – have not contributed to the rise in silver imports it would appear that there may be new sources of demand in the silver market with large buyers – private or institutional – buying significant volumes of large silver barsby