A rally on Silver continues unabated as prices are up nearly 3% today despite some USD appreciation. Returns are much more impressive when we look at the past week and past month when Silver gained 18 and 52% respectively! This is certainly one of the hottest markets right now.
A lot of spotlight is on Gold but Silver price is actually rising much faster as investors realized that Silver/Gold ratio is still below the historical average. What is more investment demand will create a large deficit this year, offering the bulls additional argument. While Silver is obviously overbought, it’s still nowhere near highs from 2008-2011 rally, when circumstances were similar: central banks policies in response to the crisis.
