With silver prices continuing to rise, a representative of the Lithuanian company Florinus was able to tell that buyers were buying the precious metal in large quantities, even by kilograms in one purchase.
At the beginning of 2025, an ounce of silver (or 31.1 grams) cost 30 US dollars, while on the 29th of December its price had almost tripled, and an ounce of silver could be purchased for 82 dollars. However, the price did not stay at such a high level for long, and by the late morning of the 30th of December it had fallen to 74 dollars per ounce of silver.
Vytenis Šimkus, investment strategist at Swedbank, pointed out that the price increase is partly due to the growing demand in industry, where, thanks to its good conductivity, this metal is used in the production of solar panels and electrical equipment. However, the main reason is speculation with prices in the market – as gold prices rose, investors turned to silver. Šimkus said that the silver market is more volatile, and even a smaller inflow of cash can quickly raise the price, which also happened in this case, when investors decided to turn to silver.
Žilvinas Leškevičius, head of Florinus, said that the higher prices could also be caused by a shortage of silver. Global demand is slightly more than 36,000 tons per year, while production is around 25,000 tons of silver, and demand, which is higher than supply, has been observed in the last five years. Leškevičius also pointed out that
both gold and silver prices in the world are strongly influenced by Asian countries.
China buys a significant amount of gold, and from the 1st of January it has limited silver exports.
The US placed silver on the list of critical minerals in 2025, and Leškevičius said that this means that both investment funds and governments are buying silver. The businessman explained that investment-grade silver is sold in .999 fineness bars and coins weighing one ounce, and buying bars is usually more profitable. Leškevičius also added that jewelry and silver cutlery are usually not considered suitable for investment. According to him, it is precisely higher prices that make people buy more silver, and there is a trend – when prices rise, people buy more silver, and when they fall, they buy less. In late December, Florinus sold 31 kilograms of silver in one purchase.
Šimkus warned, however, that short-term transactions with precious metals are a risky type of investment.
Read the full article in English here: https://www.lrt.lt/en/news-in-english/19/2794237/lithuanians-jump-aboard-the-silver-rush
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