(Adds analyst quotes, U.S. Mint data)
By Renita D. Young
NEW YORK, Sept 6 (Reuters) - The U.S. Mint's 2018 American Eagle silver coins are sold out and more are being produced, the government entity said in a statement on Thursday. "Increased demand," has driven the U.S. Mint to "temporarily" sell out of the coins, representative Michael White wrote in an email. The U.S. Mint will honor all prior orders, White said. "That's good news for precious metals ... any increase in demand should support prices," said Chris Gaffney, president of world markets at TIAA Bank.
August sales of 2018 U.S. Mint American Eagle silver coins rose 72.9 percent to 1.53 million from July, when the U.S. sold 885,000 2018 silver coins. That was the largest monthly sales figure since January, when the U.S. Mint sold 3.24 million of the coins. It was also the highest August sales since 2015.
Silver prices have been relatively subdued this year, following gold prices.
"For the price to be down so low in silver and gold, it won't be long before they are higher." said Steven Rand, senior account representative of Scottsdale Bullion and Coins.
As some investors look for a safe haven against an overheating stock market, they are turning back to precious metals, traders have said. (Reporting by Renita D. Young; editing by Grant McCool)