Group 1 - COMEX silver inventory recorded at 15,752.92 tons on October 20, a decrease of 93.05 tons from the previous day [1][2] - COMEX silver price on October 20 closed at $51.40 per ounce, up 1.53%, with an intraday high of $51.83 and a low of $50.08 [1] - China's silver reserves rank among the top five globally, accounting for approximately 11% of the world's total silver reserves, with over 1,500 silver mines [3] Group 2 - In 2024, China's silver mine production is projected at 3,426 tons, with recycling contributing 1,233 tons, indicating a need for imports to meet demand [3] - Industrial demand for silver in China is significant, with total consumption in 2024 expected to reach 9,428 tons, of which industrial demand is 8,567 tons, primarily driven by the electrical and electronic sectors [3] - Indian social media influencers have been promoting silver as the next investment opportunity following the historic rise in gold prices, leading to increased demand and price premiums in India [4]

Core Viewpoint - The surge in silver and gold purchases in India ahead of the Diwali festival is significantly impacting the global silver supply crisis, with Indian consumers spending a total of 1 trillion rupees, of which 600 billion rupees is attributed to gold and silver purchases, marking a 25% increase from the previous year [1] Group 1: Consumer Behavior - Indian consumers are showing unprecedented enthusiasm for purchasing gold and silver jewelry for the Diwali festival, with a notable shift towards silver products over gold this year [1] - The market for silver coins has seen a price increase of 35% to 40% compared to last year, driven by rising international gold prices [1] Group 2: Market Dynamics - The demand surge in India has led suppliers to turn to international markets, exacerbating the ongoing global silver supply shortage [1] - The situation has been described as "India's buying spree causing panic in London," highlighting the international implications of India's domestic consumption trends [1] Group 3: Supply Chain Impact - Many silver retailers in India have reported being sold out of silver bars, with restocking taking at least 20 days, indicating a significant supply chain strain [1] - MMTC-PAMP, India's largest precious metals refining company, has experienced its first instance of "silver inventory depletion" since its establishment, underscoring the severity of the supply issue [1]