This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Silver Surplus And Supply Forecasts

Silver Surplus and Supply Forecasts Silver investors may want to prepare for a feast: the silver market is reportedly already in surplus and an array of miners have forecast production increases for this year.

The silver market has been in surplus for the past several years and is expected to remain so in 2013, Anne-Laure Tremblay, precious metals analyst at BNP Paribas, said in the London Bullion Market Association's (LBMA) 2013 silver forecast.

In a recent interview with Mu Li, a CPM Group analyst, Kitco's Daniela Cambone asked for confirmation on reports indicating that there is currently a 207-million-ounce silver surplus.

Li confirmed that the silver market is still in surplus. Investors have been absorbing the surplus metal, but, she added, there is no real shortage of metal in this market.

As miners report their fourth-quarter and 2012 year-end results, many are also issuing 2013 forecasts. A review of these announcements reveals that many companies not only experienced growth last year, but also expect further production increases this year; they plan to do their part to keep the silver market well supplied in 2013.

Hecla Mining (NYSE:HL) was established in 1891. The company made headlines last week when it announced that its silver reserves have reached the highest levels in its history. Hecla also reported 2012 silver production of 6.4 million ounces and stated that it expects that amount to increase by 25 percent this year, to about 8 or 9 million ounces.

First Majestic Silver (TSX:FR,NYSE:AG) has seen its production increase for nine years in a row, reaching 8.26 million ounces in 2012. The company expects the growth to continue, noting in a press release that its silver production could reach 11.7 million ounces this year.

2012 marked the sixth year of production growth for Fortuna Silver Mines (TSX:FVI,NYSE:FM). The company reported output of 4 million ounces, a 59-percent increase over 2011. This year, Fortuna expects to produce 4.4 million ounces of silver.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.18 1.60%
FB $117.44 -0.95%
GOOG $692.33 -0.84%
TSLA $232.12 -4.00%
YHOO $36.02 -1.40%


Chart of I:DJI
DOW 17,750.91 -140.25 -0.78%
S&P 500 2,063.37 -18.06 -0.87%
NASDAQ 4,763.2240 -54.37 -1.13%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs