In a major development in the precious metal markets, the silver squeeze appears to be nearing its end, according to top market analysts. Remarkably, this dynamic has shaped the course of silver pricing for much of the previous two years, but signs indicate that its impact will soon decrease significantly.
Struggling to cope with a volatile market due to the squeeze, silver traders worldwide are likely to breathe a sigh of relief so they can return to more predictable market conditions.
So why now? The answer lies in a combination of revised supply chain strategies and considerable shifts in investor behaviour. Affected by several global incidents, including the prolonged effects of the COVID pandemic and geopolitical tension, silver markets have faced tight supply and high demand. However, known for their resilience, precious metal markets are finally stabilising and the silver supply is expected to increase, easing the squeeze.
Just as a word of caution, markets do always contain some level of inherent uncertainty and while the silver squeeze’s end is predicted, market participants should always remain alert to sudden shifts. Read More
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