MINING REFINING

Silver’s bullish fundamentals could push prices to $38 in 12 months, analysts believe

Mon Sep 23 2024

Silver will hit $35 per ounce within the next three months on the “strongest setup” seen in decades, analysts at Citi believe.

The analysts reiterated their three-month forecast, while also projecting the metal will reach $38 per ounce within six to 12 months.

Silver traded hands at about $31 per ounce on Monday afternoon.

“We have been bullish on silver for some time, and we believe the time is right to get even louder about it,” analysts wrote in a note to client.

“Silver is unique in that it has highly bullish exposure to both parts of China's bifurcated economy which, together with the bullish impact of the imminent Fed cutting cycle, we think underpins a very strong fundamental story where we model deficits in the order of 15% to 20% of consumption through the end of 2025.

“Only stockholder sales can fill the deficit, which is likely to require higher prices.”

Source: https://www.proactiveinvestors.com