Price Of Silver Per Ounce 5 Year Chart
Introduction
Investing in precious metals is always a wise decision, especially when the stock market is unpredictable. Silver is one of the most popular and affordable precious metals for investment. The price of silver per ounce is constantly fluctuating, depending on various factors. In this article, we will discuss the price of silver per ounce 5 year chart and analyze its trends.
Factors Affecting Silver Prices
The price of silver per ounce is affected by many factors, including supply and demand, inflation, economic factors, and geopolitical events. Unlike gold, silver has many industrial applications, making it more volatile in the market. When the demand for silver increases due to industrial or investment purposes, the price goes up. On the other hand, when the supply is abundant, the price goes down.
5 Year Silver Price Chart
Let's take a look at the 5-year silver price chart. As of August 2021, the price of silver per ounce is around $25. This is a significant increase compared to the price in 2016, which was around $17 per ounce. However, the price of silver has experienced many ups and downs in the past five years. In 2017, the price reached its peak of $18 per ounce, but then it dropped to $14 per ounce in 2018. In 2019, the price increased to around $19 per ounce, but it dropped again in 2020 due to the COVID-19 pandemic.
2016-2017 Silver Price Increase
Between 2016 and 2017, the price of silver per ounce increased significantly due to various factors. One of the main reasons was the declining value of the US dollar. When the value of the US dollar goes down, the investors turn to precious metals as a safe haven investment. Additionally, the increased demand for silver in the industrial sector also contributed to the price increase.
2018-2019 Silver Price Drop and Recovery
In 2018, the price of silver per ounce dropped to its lowest point in two years. The main reason for this drop was the strengthening US dollar, which made other currencies weaker. As a result, the investors turned to the US dollar as a safe haven investment instead of precious metals. However, in 2019, the silver price started to recover due to the increased demand in the industrial sector and the economic uncertainty caused by the US-China trade war.
2020-2021 Silver Price During COVID-19 Pandemic
In 2020, the COVID-19 pandemic caused a global economic crisis, which affected the price of silver per ounce. The price dropped to around $12 per ounce in March 2020, which was the lowest point in 11 years. However, the price started to recover in the second half of 2020 due to the stimulus measures taken by the governments and the increased demand in the industrial sector. As of August 2021, the price of silver per ounce is around $25.
Conclusion
The price of silver per ounce is constantly changing, depending on various factors. The 5-year silver price chart shows us that the silver market can be volatile and unpredictable. However, investing in silver can be a wise decision for portfolio diversification and as a hedge against inflation. It is important to do thorough research and consult with a financial advisor before investing in silver.
