The result was a rally in precious metals, which played host to investors looking to preserve their wealth against further depreciation. The price of silver topped $30 for the first time since 1980, soaring as high as $30.09 an ounce in afternoon trading.
But that's just the beginning.
"I believe we're looking at a target price for silver of $38 an ounce," said Krauth, citing the Fed's quantitative easing policy and the oft-overlooked sliver-to-gold ratio.
Gold also rose today with a surge into record territory. The "yellow metal" gained $9.50, or 0.7%, to $1,415.80 an ounce on the Comex division of the New York Mercantile Exchange (NYMEX). It earlier traded as high as $1,422.40 an ounce.
The metal last closed at a record on Nov. 9, when it settled at $1,410.10 an ounce.
If you're new to precious metal investing, and would like a primer, check out
Special Report: How to Buy Silver.
- For a more-specialized silver strategy focusing on so-called "junk silver," take a look our special report: Though it's Called "Junk Silver," the Profits Aren't Trash.
- If you'd like to understand just why silver is suddenly in the headlines alongside gold, we'd like to recommend: Silver is Emerging From Under Gold's Shadow.
- If options are part of your personal portfolio strategy, here's a piece that ran in October that deals specifically with using options to profit from silver: Three Ways to Play the Silver Rally - While Limiting Your Risks with Options.
- Finally, here are two pieces from September and October - a "Buy, Sell or Hold" piece on Silver Wheaton, and a detailed strategy piece that caters to more-experienced investors: Investing in Silver: Three Ways to Profit From the Projected Breakout.
To find out more about commodities, or the Global Resource Alert, please click here.]
News and Related Story Links:
Silver Price Forecast: Investment Strategies for the "Other" Precious Metal in 2011
Outlook 2011 Economic Forecast Series Stories
Special Report: How to Buy Silver