The silver market has been stealing the show from its more famous cousin, gold.

The increase in demand for silver has caused it to soar up to 74% in the last year.

The reason? Industrial demand.

Strategists say the rally is likely to continue as the global economy reopens.

Silver can be found in electric cars, solar panels, jewelry, electronics, coins… and the list goes on.

Ole Hanson, head of Commodity Strategy at Saxo Bank, told CNBC that the demand for silver has been split evenly between silver investors and industrial purposes. Hanson said:

“Industrial demand is probably the main reason why we’ve seen silver outperform gold, as it has over the last year … part of that (rise) is definitely coming from industrial metals which have really been on a tear. If you look at copper prices, they’ve more than doubled since hitting a low-point last year.”

US solar-power installations in the first nine months of 2020 reached a record. Renewable energy is having a boom year and growth is likely to continue well into this year.

“If we are serious about the green transformation, then that will continue to attract demand for silver,” Hanson noted.

If Biden’s $2.3 trillion infrastructure plan goes to par, this could mean an even greater demand for silver in the upcoming months and years ahead.

Hanson believes that if gold does good, silver will do better.

“If gold rallies, then silver tends to rally, but even stronger… So most silver investors are probably keeping a close eye on gold prices, the level of the dollar, and the level of interest rates.”

Another catalyst to silver’s price surge has been the pandemic, one that Max Layton, managing director of Commodities Research at Citi Global Markets, believes will continue driving the price of silver upwards.

“The rally can last as long as the world remains concerned about the impact of Covid-19 mutating and concerned about the impact of Covid on the services industry. Both of these concerns can drive policymakers to keep real rates at low levels and can sustain investment demand at high levels.”

Have you positioned yourself to take advantage of silver’s bullish trend up? It’s not too late.

Call American Hartford Gold at 800-462-0071, we can help.