Two weeks ago, I discussed the reasons why silver may appear undervalued relative to gold. In today’s article, I’ll present another perspective to the puzzle, pointing out why the current price of silver is reasonable. Based on the silver producer’s profit margins, I find that it’s a stretch to suggest silver should be worth US$50 an ounce. That said, the supply deficit for silver is expected to grow in the future. So you may want to start increasing your exposure to silver now…
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While gold frequently dominates discussion as a safe haven investment, silver is another precious metal worth noting.
Compared to gold, silver is considered second best – gold’s poorer cousin. But is it?
In May 2021, silver was trading for around US$27 an ounce, a significant 70% rise from a year ago when the spot price was hovering at US$15.5 an ounce. In that time, gold rose by only 6.4%.
Markets rallied yesterday after the RBA left interest rates unchanged, but the excitement could be short-lived. The banking crisis is still weighing on investors, which is boosting gold. But another metal is also faring well…
The SYR share price is currently exchanging hands at $1.23 per share, down 2.8%. 12kt of natural graphite sales from Syrah Resources Ltd’s [ASX:SYR] flagship Balama Graphite Operation in Mozambique planned to ship this month has been delayed to October 2021.
In today’s Money Weekend…a boom for the history books…a bigger commodities boom, or a looming bust?…all you really need to decide is which major metal takes your fancy…and more…
The spike in the US dollar, and freefall in gold and other commodities, continued on Thursday but US bonds had a huge rally, negating the fall that occurred on the day after the meeting.
Gold expert and Daily Reckoning Australia editor, Shae Russell, interviews the Global General Manager of ABC Bullion, Nick Frappell. She asks him for his take on the current gold price trend and his view on the outlook for the gold market. He talks about bond yields, the Biden administration, as well as the AUD/USD pair […]