Friday, January 15, 2010

Demand for precious metals unlikely to decline

Silver and gold dealers know that their products in demand because of the many products that require these precious metals, as well as the stable investment opportunity they tend to offer.

For example, a report on the U.S. Geological Survey website helps illustrate why silver is a sound investment, especially with economic activity picking up in developing nations.

According to the USGS, about 1,120 tons of silver with a value of about $570 million was produced in the United States in 2008, with Alaska and Nevada leading the way in overall production. Along with being used in coins, the report noted that silver is used in a wide variety of industrial applications because of its malleability, conductivity and reflectivity.

It is also used in products ranging from catalytic converters to batteries to cell phone covers, and even in photography. In fact, up to 90 tons of silver per year are said to be recovered from photographic wastewater alone. Other applications include using silver for wood treatment to fight mold and for the tiny antennas used in radio frequency identification technology.

As economic activity picks up around the world and as more countries manufacture and purchase products requiring silver, investors will be well-positioned to reap the benefits.

News brought to you by Superior Gold Group – expert gold dealers offering precious metals products