Silver Price Continues Upward Trend, Suppliers Hold Back on Sales and Watch for Premium Increases [SMM Daily Review]

Silver prices continued their upward trend today, with supply remaining tight in the domestic spot market and suppliers increasingly reluctant to sell. Large-scale silver ingot suppliers in Shanghai raised their TD premiums to quotes of 380-400 yuan/kg, while some individual suppliers held back sales, adopting a wait-and-see stance with TD premiums at 400-450 yuan/kg. In the Shenzhen market, suppliers showed strong sentiment for holding onto stocks in anticipation of further price increases, quoting TD premiums of 380-450 yuan/kg. However, due to the substantial price surge, some investment demand turned cautious and adopted a wait-and-see approach. As the Chinese New Year approaches, social inventories of silver ingots continued to decline, coupled with smelter inventories being sold out. Some material suppliers still expressed intentions to actively stockpile to ensure the delivery of end-user orders. During the day, both industrial and investment demand coexisted in spot market transactions. As a result, despite the simultaneous rise in silver ingot prices and premiums, market trading did not significantly weaken.