Economists at Capital Economics expect the price of silver to fall this year amid a renewed rise in US Treasury yields, in both real and nominal terms, and some strengthening of the US dollar. Rising real yields have especially negative implications for silver prices. Risk appetite also looks set to remain strong, which will weigh on safe-haven demand for precious metals.

“Investment demand has declined recently, but ETF holdings still have further to fall before they return to early-2020 levels.”

“We expect the gold/silver ratio to move closer to its long-term average, in line with our forecast for industrial metals prices to fall back.”

“We forecast that the price of silver will end the year at $21.50 per ounce.”

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