MUMBAI: Is it possible to acquire silver before it touches at $30?. Like gold, silver is also climbing up to its pinnacle level. It is important to catch the commodity before it finds it highest momentum.
While gold stole all the headlines when it broke the $1,000 mark, few took notice seven days earlier when silver hit its highest price in 28 years. Silver's current spot price is $17.21 an ounce, but one analyst [a gold bug, nonetheless], believes the poor man's gold will break the $30 barrier this year.
James Turk, founder of GoldMoney, said in his annual forecast that the U.S. economy will get much worse in 2008, making gold the premier asset of choice, but not the best performing precious metal. That honor will go to silver, which I expect will clear $30 in 2008.
...we believe silver will outpace gold in 2008. After all, even with gold's precipitous rise in 2007, silver has still achieved better returns over the life of the prevailing bull market in precious metals.
Further, we believe that gold's ascent is emotionally driven. And fear and loathing in the marketplace for U.S. dollars and equities are still driving prices higher. The subprime crisis was the spark, and the golden fire will rage on in the year ahead.
Over time, however, this emotion will once again give way to the fundamentals of supply and demand amidst a continuing backdrop of the ever weakening dollar. And in this longer term scenario, we again give the nod to silver...