Silver Investment: The risk of corona epidemics is increasing once again worldwide. In such a situation, investors are confused where to invest their capital. Given the uncertainty in equity, investors are more attracted to gold and silver. However, in both these options, silver has emerged as a better option. The biggest reason for this is that gold is basically used as an investment around the world, whereas silver is an industrial consumption. This year, due to the rise in consumption of silver in 2021, its prices may rise by 30 percent globally. According to market experts, silver prices can also show a level of up to 76-80 thousand by the end of this year, that means investors can get a return of up to 11 thousand rupees on investment at this time. At this time, the price of silver is running close to 69 thousand.
Silver may be costlier by 30% due to increase in consumption
Last year, due to the Corona epidemic, most countries around the world remained under lockdown for most of the time. Due to this, economic activities were affected. However, the consumption of silver is expected to increase this year. According to a report by The Silver Institute, the price of silver can increase up to 30 percent this year. By the end of last year, the price of silver was up 27 percent compared to 2019 while the average price was US $ 20.55 (Rs 1541.65) per ounce (1 kg = 35.3 ounces). This was the highest average price since 2013 and this time, The Silver Institute now estimates that silver prices can rise by 33 percent to reach the average price of $ 27.30 (Rs 2048.03). Silver prices have not crossed the $ 30 (Rs 2250.58) level since February 2013, but this year silver prices can touch the level of $ 32 (Rs 2400.62).
There was a 5 percent decrease in industrial demand in 2020
Last year, when economic activity came to a standstill due to the Corona epidemic, industrial demand for silver declined. Last year, the demand for silver was reduced by 5 per cent and it reached a five-year low of 48.68 crore oz (1.32 crore kg). However, demand for silver bars and quince was up 8 per cent and reached a four-year peak of 20.05 million ounces (56.8 lakh kg). The trend of investors increased towards silver due to the Corona epidemic last year and the fall in its price in March.
Up to 11 thousand returns till Diwali
Last year, silver prices reached a record high in the domestic market in August. However, after this it started declining. Now once again it is gaining momentum because the trend of investors has increased towards it. However, due to its consumption, its price is going to remain strong. According to Anuj Gupta, Vice President (Commodity and Currency) of India Infoline Securities (IIFL Securities), silver prices can show a level of 71-72 thousand in the next one to two months, while by Diwali it can go up to 76-80 thousand. Can show the level of that means that if the investors invested by the end of the year, then they can get a return of up to 11 thousand rupees from the current price.
Silver is used in it
Silver has a higher industrial use as opposed to gold. Due to this, the momentum in its prices has remained constant. Gold is most commonly used as jewelry in addition to investment, while silver is used in industries ranging from medical industry. Silver is also used in EV and both in 5G network and they are going to grow in the future. Policies are being made around the use of electric vehicles around the world and 5G is on the doorstep in terms of network, so silver is going to give better returns to investors.