Is Silver Really In Short Supply?

This was an exclusive article written for Seeking Alpha.

What a couple good months we had in the precious metals world. Silver is at a 3.5 month high. Our companies sales, especially in silver, were great in August and September, setting some new records as many bought the dips. But now that we have moved up in price, what is the situation with the supply of silver today? What are it’s future price projections? Before we get to that, let’s recap the last couple months.

Was Silver Really In Short Supply?

The answer is no, it wasn’t. The supply issues were related to limited production capacity and suppliers not having enough of certain types of coins and bars available, primarily the Eagles, Maples, Rounds and 1, 10 and 100 ounce bars. There were plenty of 1000 ounce bars available, but most investors don’t buy them.

Suppliers were caught with limited supply on this last downturn in price and their ability to produce metals to satisfy demand was limited by the number of machines they had. Nothing more. If you only have so much production capacity, you have to push out the delivery time and that’s what we saw the suppliers do. It was as much as 12 weeks that buyers had to wait for delivery for some suppliers.

Silver Supply Current Status

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