According to the PwC’s Mine 2017 report, Canada’s largest mining establishments have played a major role in the impressive growth and progress of the international mining sector. This has given Canada a positive feedback in their mining industry, as silver price in Canada, as well as gold has made abrupt changes into their prices.
The PwC Mine 2017 report claimed that Canada has led the way on equity financing last 2016, together with the Toronto Stock Exchange or TSK and TSX Venture, which is responsible for the 57% of global financings during the year (2016), which has made changes on silver price in Canada.
Liam Fitgerald, National Mining Leader of PwC Canada, have said that while the global mining industry is moving out of a challenging time into a period of recovery, and that it is encouraging for Canada to be seen as a leader in the international mining as well as in a variety of areas. He also said that having four Canadian companies amongst the largest metal streaming and royalty business in the world demonstrates the country’s leadership. This has given the silver price in Canada, as well the gold in the country a boost.
However, silver has been a bit feeble as of the time being. For instance, United states gold-futures contracts each control 100 troy ounce of golf, at $1250 which is worth of approximately $125,000, however, the margin requirement, the capital necessary in trading account to hold that contract is just $3950 a week. This enables traders to run leverage as high as 31.6., which acts a strong price impact multiplier on all their buying and selling.
On the other hand, silver futures are similar, with United States contracts each controlling 5000 troy ounces. This commands $80,000 worth of silver at $16. However, traders are only required to put up $5000 in cash to buy or sell each contract. That makes for maximum leverage of 16.0x which affects silver price in Canada as well as gold. Futures effectively greatly amplify the price impact of relatively-small amounts of capital.