Articles

Want to Invest in Silver? Read this Before Going any Further

by Monica Sharma Gold Operator - MCX Gold Tips Provider
Silver is one of the most conductive and malleable metals available on the Earth. This metal has found its usage in the past, majorly in the form of jewelry and money. It found its use in the form of currency in Turkey in the year 700 B.C.E. Even though silver is rarer than gold, it has played a substantial role in the formation of currencies in the history and its price has moved hand in hand with the prices of gold.

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Silver and Its Production

Since, silver tends to be a precious and rare metal, its price is subject to its availability in the open market. Therefore, the production of silver around the world is one of the most important stats that need to be considered, when talking about silver. During the 4,400 years until the New World’s discovery, the amount of silver that was mined was 7.6 billion. Since the New World, i.e. around 440 years, the production of silver has reached to 15 billion ounces.

The direction in which the price of silver will be in the coming years can be determined by the production of silver by the largest mining companies. An important thing here to consider is that the older production techniques of silver will shut down in the future as the production will reduce. This will definitely affect the price of silver until new production methods are discovered.

Factors which Decide the Price of Silver

The factors which play a major role in determining the price of silver are-

•    Silver is extracted from copper, zinc, and gold ores.
•    Despite the introduction of digital imaging, film photography is still considered as a low-cost and high-quality technique, owing to the fact, that
silver is used in it.
•    The demand of copper plays a major role in the supply and prices of silver. Since, 26% of the silver is derived from copper, and copper finds its use in the construction of new homes; any alteration in the construction market, can affect the supply of copper.
•    Since, silver is a good conductor of electricity, it finds great use in the electronics industry in switches and circuits.
•    The price of gold and silver are connected to each other. As the prices of gold rise and fall, so do the price of silver rises and falls.
•    Solar panels are becoming one of the most cost-effective energy sources and use silver paste for conducting electricity from the silicon photovoltaic cells.
•    Silver is used as a hedging currency risk as a safeguard against the dollar.

Conclusion:
There is no denial in the fact that silver is one of the most versatile metals available on the Earth.Trading and predicting its price depends on the demands of the consumers as well as the currency market.

If you are new to silver trading, then Gold Operator is one of the best places where you can get MCX silver and MCX gold commodity tips easily.

About Monica Sharma Junior   Gold Operator - MCX Gold Tips Provider

0 connections, 0 recommendations, 10 honor points.
Joined APSense since, July 4th, 2017, From Mumbai, India.

Created on Oct 9th 2017 07:39. Viewed 80 times.

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