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Metals Focus Sees Continued Photovoltaic Demand For Silver

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The consultancy Metals Focus sees a “bright” outlook for silver demand by the photovoltaic industry. This involves the use of silver to conduct electricity for solar energy. Analysts attended a recent forum on the topic in China. The PV industry exceeded expectations last year, with newly installed capacity reaching a new high of 102 gigawatts, Metals Focus says. “The overall outlook for the PV industry remains bright as an increasing number of countries embark on new projects as part of their commitments to long-term renewable energy,” Metals Focus says. “As such, 2019 is likely to see installations rise. That said, the desire to thrift on silver use will remain ever-present, especially as subsidies start to be phased out in many countries and with the emergence of new technologies that require less silver. Even so, silver offtake is expected to remain broadly steady (and so at record highs), given the balance between the growth in new PV capacity and the offset of the drive to trim installation costs.”

By Allen Sykora of Kitco News; asykora@kitco.com

 

Commerzbank: Feb. Chinese Gold Imports Remain Low

Wednesday March 27, 2019 09:52

China’s gold imports remain historically low but likely will pick up whenever a trade spat with the U.S. is resolved, says Commerzbank. Analysts cite data from the Census and Statistics Department of the Hong Kong government showing that China imported some 33 tonnes of gold on a net basis from Hong Kong in February. “This was somewhat less than in January and almost the same quantity as a year ago,” Commerzbank says. “As such, imports were not quite as poor as the figures for Swiss gold exports to Asia had suggested last week. Nonetheless, Chinese gold imports are at a fairly low level in historic terms. We expect them to pick up again once the trade dispute with the U.S. has been resolved.”

By Allen Sykora of Kitco News; asykora@kitco.com

 

TD Securities: Gold-Price Rally ‘Will Have Some Legs’

Wednesday March 27, 2019 09:52

TD Securities envisions a rally in gold and says the move should have “some legs.” Analysts say conviction in financial markets is growing for the next Federal Reserve policy move to be a rate cut, with interest-rate markets pricing a nearly 75% probability of this before the end of 2019. Analysts see a move toward a $1,360-an-ounce target. “With futures prices above our key trigger range, we expect CTAs [Commodity Trading Advisers] to provide a firm bid in gold as systematic trend followers dramatically increase the size of their gold length,” TDS says. “We think this rally will have some legs, as money managers increasingly look to protect themselves from potential equity corrections, while there are few reasons to fear the Fed, and CTA buying will likely add to upside flow.”

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.