Diversify With Silver As Set To ‘Increase 400% In 3 Years’
Tuesday, 13 November 2012
Gold’s rally in 3Q saw it hit just short of $1,800, down from the all time nominal record of $1,920 in 2011 when investors turned to the yellow metal as an inflation hedge and safe haven during the height of the European debt crisis.
Barrick Gold’s (the largest mining producer) CEO, Jamie Sokalsky, said prices may rise to $2,000 in 2013 as costs and barriers to production restrict supply, while demand from central banks and Chinese consumers keeps climbing.
New York’s SPDR Gold Trust, the largest ETF, dropped 0.07% on Friday from Thursday, while those of the largest silver-backed ETF, New York’s iShares Silver Trust rose 0.45% percent over the same period.
The Telegraph has an interesting article on silver which suggests that it might rise by over five times in the next few years.
Emma Wall interviews fund manager Ian Williams who says that “silver is about to enter a sustained bull market that will take the price from the current level of $32 an ounce to $165 an ounce and we expect this price to be hit at the end of October 2015.”
“This forecast is based entirely using technical & cyclical analysis and is in keeping with the mathematical form displayed so far in the bull run that has taken silver from $8/oz in 2008 to its current price of $32 an ounce – having hit $50 an ounce in 2011.”
Mr Williams noted that the silver price was more volatile than gold, but that he predicts silver to continue to dramatically outperform gold.