silver fundamentals, page-4

Thanks scottyg71 and woddonnee,

I have a copy of the 2002 world silver survey which was produced by GFMS and the Silver Insititute in January 2002, with data from 2001.

I find the figures and charges contained within it a little difficult to swallow.

For example, the report argues the predominant reason for the 12% year on year average POS was due to a decline in industrial demand (-5%), mainly from a reduction in computer componentry.

It also argues that supply was increases quite substantially. The report 'assumes' however that investment hoarding increased due to a lower level of private sales.

Just for the record, on page one, you should check out who the major 'sponsors' and 'contributors' are for the report.

To name a few: Barrick, Placer Dome, NYME, Mitsui, and PAAS.

All are (or were at the time the report was written) well known hedgers or hedge 'enablers'.

In the interest of objective research however, it is a good read. Here is a link to a PDF version of the 2002 Annual Silver Survey: World Silver Survey 2002 (PDF Document)

For balance, I invite anyone interested to visit the silver research pages from our good friend sharefin. The page contains many links to articles and resources, investigating all facets, arguments and situations in the silver market. Visit this Resource

The figures and guesstimates are always different depending on where you look. Make up your own mind.


Regards,