That's not news, there are millions of them that escaped the great melt of 1980, but it got me thinking of this story from last week.
(most silver is mined as co-product or by-product of other metals, zinc being one of the biggies, copper is the other)
From the National Post:
George Pirie can only watch as investors push his stock lower and lower amid a crumbling zinc market. But he is confident the selling won't last.
He is chief executive of Breakwater Resources Ltd., a Toronto-based metal producer that has been hit as hard as almost anyone by the sinking zinc price which has plunged more than 20% in the past 30 days, and 50% this year. Breakwater shares closed at $1.65 yesterday, and are down by more than half since mid-October because of falling prices and operational problems.
"Because zinc is ubiquitous and used everywhere, it's a bit of the 'canary in the gold mine' type of vehicle," Mr. Pirie said in an interview. "It'll be the first to suffer the consequences of a nervous market."
Zinc prices are falling because the global supply picture is improving, with lots of projects coming online or ramping up production. While there are no consistent numbers available, institutions have forecast surpluses of hundreds of thousands of tons of refined zinc in the next three years. Increasing supply, along with general market turbulence, has pushed the zinc price down to US$1 a pound, after it hit highs above US$2 early this year....MORE
From Kitco:
| 1 Year Zinc | ||
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