Silver Prices Stabilize at $58.49 Amid Supply Deficit and Industrial Demand
Silver prices closed at $58.49 per ounce last week, marking a modest recovery from the turbulence that shook the market.
The metal's price has swung wildly between an early-July peak of above $62 and a midweek rout sparked by an oil-price surge past $100 a barrel amid escalating Iran tensions and a strengthening dollar.
A 46.3 million ounce supply deficit for 2026, confirmed by the Silver Institute, is a major contributor to this volatility.
This deficit has been ongoing since 2021, with cumulative stockpile drawdowns reaching 762 million ounces, and Metals Focus expects it to continue at a pace of 50 to 80 million ounces per year through at least 2030.
The industrial engine behind this shortfall is the solar industry, which consumes roughly 7,244 tonnes of silver annually, more than a fifth of total global supply, according to the ITRPV market report.