Gold prices reached an amazing high of $ 1200 per ounce in the last few months. Although after that there was a retracement but it is expected that this bull run in the gold market will continue. But there is a metal that has even better prospects as an investment right now as compared to gold.
I am talking about silver. You see, silver like gold has always been considered a precious metal in human history. Kings used to hoard both gold and silver as a measure of their wealth in ancient times. In modern times, gold is still being used as the ultimate store of wealth with silver being the second best.
However, silver has far more industrial applications as compared to gold. Silver is being used extensivley in the electronic industry, batteries,solar panels, TV, water, medical applications plus a host of other industries. With the global economy finally out of the recession this year, demand for silver in these industries will skyrocket.
But with a limited supply that cannot be increased for forseable future, this means sky high prices for silver. So when gold prices increase, they don’t effect the global economy much. When oil prices increase, inflation increases in the global economy. But at some point, demand for oil reduces as consumers cut back on their oil demand. So oil prices can increase only upto to a certain point after that it is priced out of the market.
On the other hand, silver has a large industrial demand. Now an important question that comes to our mind is that is this rise in silver prices speculative or due to the real fundamentals. As said before, high silver demand is going to drive this price rise.
So in nutshell, this might be the best time to invest in silver stocks. However, investing in Silver ETFs can be an even better option as compared to silver stocks. The bull market in silver is going to last long as the global economy enters its expansion phase.
One of the best Silver ETFs is the ETF with the NYSE ticker symbol SLV. There might be others too. You do the research, pick the best ones and invest in them as the silver bull market is about to start.
You can also invest in silver mining stocks. There are a few companies that specialize in silver mining. Buying their stocks at this time may also be a good idea!
Mr. Ahmad Hassam has done Masters from Harvard. Read this 40 page Gold and Silver Investing FREE Report! Get these three Swing Trading Reports FOREX-4 PACK, Quantum Swing Trading and the Profit Button FREE!
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