| From Kitco.com: Silver, in modern times, has had difficulty shaking off its “Cinderella” image. The total value of the silver bullion market is a mere 10% of the value of the gold market and thus of limited economic significance. The silver market is currently subject to major structural changes in both demand and supply.
Goldfields Mineral Services estimates that current world silver bullion stocks of coins and silverware stand at a mere 400 million ounces. By the end of 2008, world government inventories could well stand at or close to zero if present trends continue. Although a large percentage of production is relatively insensitive to the price of silver, as it is a byproduct of base metal mines, the amount of scrap offered for sale can still be very price elastic..... Full Article: Source
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