Silver Futures Drop 52% From May 2024 Peak as Industrial Demand Contracts

{"Silver prices peaked above $32 per ounce in May 2024 on solar and electronics demand before declining more than 50%. Exchange data from COMEX and Shanghai Futures Exchange show open interest falling 18% over the same period while physical delivery notices rose, indicating reduced forward buying by industrial users.","The drop aligns with documented slowdowns in China’s property sector and European auto production. IMF World Economic Outlook revisions cut 2025 global growth to 3.2%, with OECD noting a 7% year-on-year decline in semiconductor shipments through Q3. Silver’s dual role as monetary asset and industrial input makes its price a leading signal of capex restraint.","States respond to these readings by adjusting trade and fiscal levers. Beijing extended export tax rebates on refined metals in September while the EU accelerated critical minerals stockpiling under the 2023 Net-Zero Industry Act. Both moves hedge against further demand erosion without altering stated climate targets.","Next quarter data will test whether the decline stabilizes above $14 or breaks lower. Central bank gold purchases continue at record pace, suggesting monetary demand for precious metals remains decoupled from industrial cycles."}