-
- By Diane Alter, Contributing Writer, Money Morning
- May 13, 2013
It's hard not to get a bit nostalgic about silver prices.
I find myself reminiscing about April 2011 when the white metal ended the month at a sterling $48.70 an ounce after hitting an all-time intraday high of $49.51. That record surpassed the previous high of $49.45 set three decades earlier when the Texan Hunt brothers set out to corner the silver market.
Since the 2011 peak, the S&P has roared higher by some 50%, while the value of silver has tumbled 53%. That's not nearly as bad as the drop silver experienced between its Hunt brothers induced high on Jan 1, 1980 through its low on June 21, 1982, when silver fell a devastating 90%.
Those declines are a reminder of just how volatile the metal's price can be. But with great risk comes great reward, and we see record-breaking gains ahead...
To continue reading, please click here...
-
Investing in Silver: Price Outlook for 2013
- Money Morning Staff Reports - April 26, 2013
Believe it or not, investing in silver right now could double your money.
Think about it: In April 2011, silver prices rose by 170% in just 7 months. Anyone investing in silver during that period pocketed huge gains and spent a lot less than they would on buying gold.
And right now, it looks like the silver market is on the cusp of doing the same thing all over again.
According to our research, the next stop for silver prices could be $40 by year's end, and $60 by 2014.
And much higher after that.
To continue reading, please click here...
-
Will Silver Prices Keep Falling?
- Money Morning Staff reports-- April 16, 2013
As gold prices plummeted $200 in two days, silver prices fell about 14%, or $4, to below $24 an ounce.
Our Money Morning resources expert Peter Krauth explained the reasons behind gold's fall, so we went back to him to find out the deal with silver prices. Will silver keep falling? Is it a buy at the lower levels?
Here's what Krauth offered for investors.
Money Morning Staff: Peter, are silver prices falling because gold fell, or are there other factors at play here?
Peter Krauth: There are two factors.The first is that silver follows gold rather closely, and usually amplifies its behavior, both up and down. However, it can and does sometimes detach from gold and behave independently, but this is more of a rarity.
The second is silver's industrial demand.
To continue reading, please click here...
-
With the White-Hot Demand for Coins, Why Are Silver Prices Falling?
It's one of the biggest mysteries in finance right now.
I mean, it's a real head-scratcher ...
On one hand, demand for silver coins has been off the charts. With so many investors wanting to swap currency for silver, neither the U.S. Mint nor the Royal Canadian Mint has been able to keep up with purchase requests.
In fact, the U.S. Mint actually had to suspend sales of the "Silver Eagles" just a couple of weeks into the New Year - and it still smashed the all-time monthly sales record in January by selling 7.5 million of the hugely popular coins.
And that insane demand carried over into February and March.
To continue reading, please click here...
-
New ETF Makes Investing in Silver Miners Even Easier
- By David Zeiler, Associate Editor, Money Morning
- March 28, 2013
With silver looking even more alluring than gold lately, it's smart to consider investing in silver miners - and a new ETF gives investors one more option.
The PureFunds ISE Junior Silver ETF (NYSE: SILJ), launched in November, differs from other silver mining ETFs in that it focuses only on junior silver miners.
The PureFunds Junior Silver ETF joins just two other silver mining ETFs, the Global X Silver Miners ETF (NYSE: SIL) and the iShares MSCI Global Silver Miners ETF (NYSE: SLVP).
While silver mining ETFs, like silver mining stocks and gold mining stocks, have not tracked the rise in price of the precious metals themselves - many are down anywhere from 10%-20% year to date - the tide is ready to turn.
Many signs point to increasing silver demand in the months ahead, and in recent weeks more money has started to shift out of gold and into silver. Investing in silver mining ETFs is one way to get out in front of this trend before the rest of the crowd.
"For 2013, I think silver, like gold, will set a new all-time nominal price record, likely reaching as high as $54 an ounce," Money Morning Global Resources Specialist Peter Krauth said in his 2013 silver price forecast.
To continue reading, please click here…
-
Is London Manipulating Gold and Silver Prices?
- By Tony Daltorio, Contributing Writer, Money Morning
- March 22, 2013
As we've explained before, manipulation of gold and silver prices is happening right here in the United States.
Our Global Resources Specialist Peter Krauth interviewed silver market analyst Ted Butler last year, who explained how big financial institutions were using high-frequency trading to depress silver prices.
And earlier this month, Money Morning Chief Investment Strategist Keith Fitz-Gerald detailed how these same big firms were toying with retail investors in the gold market.
Now, in the wake of the Libor scandal in London, which involved the rigging of interest rates by certain banks, it looks like prices in other markets such as gold and silver could be being rigged in a similar fashion.
To continue reading, please click here...
-
Investing in Silver Stocks: After Deep Plunge, These Miners Will Shine
- By Money Morning Staff Reports - March 21, 2013
Investing in silver miners hasn't been as profitable as betting on the white metal itself - but that's changing.
Actually, as a group, precious metals miners have been in a mutli-year downtrend. Take the case of the Global X Silver Miners (NYSE: SIL), the marquee ETF that tracks silver miners. Not only is that fund down about 21% year-to-date, it has tumbled more than 31% over the past two years.
That means with silver prices slated to rise, these silver miners are trading at a discount right now - very good news for anyone investing in silver stocks.
Here are three miners anyone investing in silver stocks should consider.
To continue reading, please click here…
-
Investing in Silver Now is a Steal
- By Tony Daltorio, Contributing Writer, Money Morning
- March 18, 2013
Lately there has been quite a divergence in the behavior of those investing in silver compared to those holding gold.
One group is running scared, while the other is calmly stocking up.
It looks as if many of the weak hands holding gold in the form of exchange-traded funds (ETFs) are giving up and liquidating their positions. A record $4.1 billion was yanked out of gold ETFs in the month of February, a record high, according to the BlackRock ETP Landscape report. This figure was almost double the previous record set in January 2011 of $2.6 billion.
But it is quite a different story in the silver market, according to South Africa's Standard Bank. For the week ended March 1, silver ETFs added nearly 68 metric tons to their position. That brought the total silver held within 110 metric tons of an all-time record high.
That compares to 59 metric tons of gold being liquidated from gold ETFs in that same time frame.
Demand for Silver Eagle coins from the U.S. Mint also continues apace. February sales did not match January's record rate, but were still a very robust 3,368,500 ounces.
So, why is investing in silver becoming the favored trend?
The answer is simple: Silver is cheap.
To continue reading, please click here...
-
Investing in Silver: Price Dip is a Good Time to Buy
- By Diane Alter, Contributing Writer, Money Morning
- February 26, 2013
Good news for those investing in silver: The price slump is ending, making now a good time to buy.
Silver prices have slid since the start of 2013, and the white metal's down nearly 9% so far this year. Silver, which had hit a record high of $49.79 an ounce in April 2011, was trading for $29.36 Tuesday afternoon.
That leaves plenty of room for prices to climb - and plenty of profit for investors who buy on the dips.
Money Morning Global Resources Specialist Peter Krauth said recent weakness in gold and silver prices "has created a great opportunity for true contrarian investors" to add to their positions.
"We may not have hit the absolute near-term bottom, but I think the odds are good that we're pretty close," Krauth said as the sell-off accelerated in February.
To continue reading, please click here...
-
Why Buying Silver Coins is One of the Hottest Trends of 2013
- By Tony Daltorio, Contributing Writer, Money Morning
- February 14, 2013
So far in 2013, buying silver coins has been one of investors' favorite ways to profit from a climb in the white metal's price.
The demand for physical silver from small investors in the form of coins is really remarkable. A record 7.5 million ounces of silver coins were sold in January.
In mid-January, the U.S. Mint was forced to announce that it was forced to suspend sales of the 1-ounce American Eagle silver bullion coins because, after just two weeks, it was sold out of its entire inventory.
Silver bullion coin sales were strong going into the close of last year as investors became concerned over the state of the U.S. economy with Congress debating the fiscal cliff and the debt ceiling.
UBS noted, "With the U.S. Mint reporting notable sales volumes last November - when the U.S. held elections - and again this month when U.S. fiscal issues are at the forefront, it is easy to infer that some element of the 'fear trade' may be at play."
UBS was skeptical of the fear trade, but added "Nevertheless, it is important to keep an eye on U.S. coin sales in the coming months to see if volumes remain elevated as the debt ceiling showdown plays out."
Famous investor Jim Rogers is also a fan of buying silver coins.
"You can't get [silver coins]. They sell out," Rogers, who owns a rare 2013 silver coin, said on Yahoo! Finance's"The Daily Ticker" earlier this month. "Several mints have run out of coins because everybody's worried about the future of the world."
To continue reading, please click here...
