Silver: Rocketing demand.

These are some interesting facts I found out about silver from a reading today:

1. The U.S. Mint sold over 6.4 million silver Eagles in January, more than any other month since the coin’s introduction in 1986.

2. China’s net imports of silver quadrupled in 2010, to 122.6 million ounces, roughly 13.7% of global production.

3. Silver rose over 3,646% from trough to peak in the last precious metals bull market; it’s up about 630% in our current run.

After a brief correction of about 10%, silver looks like it could form a new high on the one year chart. I am always wary of chasing rising prices. I would patiently wait for the next pull back but instead of waiting for a 20% pull back, I could increase my long exposure with just a 10% pull back. I shall wait and see.

Reference:
How much more demand can silver handle? 
by Jeff Clark, 16 Feb 2011.