Heraeus analysts note shift in investors’ interest towards silver

According to an analysts' review by Heraeus, investors are gradually shifting their focus from gold to silver. At the beginning of the year, demand for gold remained high due to its status as a safe-haven asset. However, in recent months, the share of inflows into silver-backed funds has noticeably increased. For instance, in just the first half of June, holdings of silver in ETFs grew by 18.2 million ounces, reaching a total of 759 million ounces.

The company’s experts attribute this growth to shifting market dynamics and a reallocation of interest by major players. They note that despite an anticipated decline in industrial silver demand this year to 677 million ounces, the overall volume still remains 19% above the 10-year average. This indicates sustained interest in the metal, particularly amid relatively stable prices.

Meanwhile, silver’s price rise in June allowed it to temporarily surpass the $37-per-ounce mark, though it saw a slight correction by week’s end. As the company highlights, the market is showing a clear trend of capital rotation into silver.