- Investment demand in silver has been fairly disappointing through most of 2023; however, one mining executive said that this is not the segment of the market investors should be paying attention to.
The bullish comments come as silver prices test resistance just below $23 an ounce, up 9.5% from September's multi-month lows below $21 an ounce. Baker noted that Hecla's Greens Creek operation, the largest silver mine the U.S. and the eleventh largest in the world, produces 10 million ounces of silver a year. He added that at the current pace of consumption, the world would need at least two or three new mines that size to meet demand for just the solar sector.
In this environment of rising demand and limited or reluctant supply, Baker said he is optimistic that silver prices will continue to increase. He added that at some point, investors will not be able to ignore the fundamental supply and demand imbalance.