Archive for the 'Silver News' Category

The precious metals industry saw a surge in per oz. price of silver while the stock market was shaky and the world was feeling it’s bumps.

During that few weeks silver investments topped out with a troy ounce of silver going for around $14.50 USD. That’s the highest it’s been in months after the price of silver cruised past $15 mid last year.

Now prices have begun their retreat more than likely due to profit seekers taking a piece of the pie that the surge brought on. Silver is back below $13 with a few days of sinking prices.

Platinum futures rocketed up today by $42.20 to $1,234.30. Yikes!

Could this be the next big push for metals all around? being bullish on silver means we take a lot of verbal lumps on the head as we try and bestow a semi-impartial view of the silver investing market upon our readers.

The reason as reported by Yahoo! Finance was that industrial demand for platinum in car parts and electronics has given the platinum market a much need boost. The demand is increasing without supply following. The biggest player in this news reporting was the famous Johnson Matthey that said the platinum market would have a 20K ounce supply deficit in ‘06. That’s a lot of platinum needed!

Now it would make sense that where one metal goes the rest follow. A lot of investors out there don’t read the reasons why a certain commodity is increasing or decreasing and therefor just buy or sell on what news sources say the price is doing.

Platinum surges, but gold. Silver tanks, sell it all. Why? human instinct or gullability. Whatever it is we hope that trend continues and that we see that market of silver feel a little love from the Platinum shortage (or useage).

technorati tags:Silver, Platinum, Gold, Commodities, Investing, Money, Finance

Should the price of silver and gold be higher than it is right now. If you talk to many investors they say the run-up that gold and silver have had over the last few years is going to cause the precious metals sector to tumble.

But does that seem right?

Gold and silver both sat around dormant, slowly progressing then receeding over the last 20 years. Demand went up as the tech sector looked to buy more and more. The jewelry market isn’t slowing, although people are shifting weight away from gold and silver to more exotic metals like platinum, theres still demand for it.

With the boom in china, there’ll be more consumers for electronics and jewelry, both utilizing these precious metals. Will the sector continue to rise?

Another reason we see it continue to rise is the fact that there are now gold and silver funds that you can buy. Funds like GLD and SLV both looking to stock pile gold and silver will surely decrease the supply. Doesn’t the price of peanuts go up then?

No matter what way you slice it, gold and silver should continue to advance. Even if the democrats restore peace to the world.

technorati tags:Silver, Precious, Metals, Investing, Gold, SLV

In a recent article by Theodore Butler over at SilverSeek.com he stated many facts based on his previous bullish look at silver and other commodities prices that make it seem like we should take his newest bullish look at silver a little more seriously. He opens the article by saying.

Since I don’t like to beat around the bush, let me state that right now I think silver is a better investment than it has ever been. Yes, I know silver was much cheaper a short while ago. At that time I tried my very best to convince as many people as I could to buy it under $5. Many did and are glad they bought it.

Aside from that bold opening statement he likes to point out that the current price of just over $10 an ounce (close to $12 as I write this) is still way below what other commodities such as gold and oil have done over the past 2 years.
The demand for silver is there, in jewelery, electronics, and ornamentation, silver is still in. And there are more people in the world than his previous bull outlook. About 500 million more people. 500 million more people to look for silver ot be bought.

He also mentions the ETF’s that have popped up for commodities which have increased demand for the world’s silver markets. SLV, the ishare’s silver traded fund has more than 90 million ounces which is still only 70% of what they want to get to at 130 million ounces. SLV has truly had little effect on price which means we could see the demand shown by that fund to increase the price of silver of the next year or two.

To read more about the bullish look at silver and get some good facts check out the article at Better Than Ever – SilverSeek.com

technorati tags:Silver, Investing, Commodities

Sivler has been hoovering around the $11 mark for a few weeks now and even though there was a recent charge up in prices the payroll reading and dollar outlook have pulled back on the thought to be re-emerging bullish silver.

Neal Sloan has daily commentary on the commodities and metals markets that we found interesting today. He points out that even with a lower than expected payroll reading silver will continue it’s rise due to demand factors in other commodities such as copper.

He too sees a stagnant $11 silver that should increase through the shaky dollar and even with a fed that holds interest rates at the next meeting.

Here’s what he says about the $11 an ounce price we are seeing and what pressures could effect or not effect it.

“While the silver market seems to have entrenched above the $11.00 level, we are somewhat concerned about the lower volume and open-interest pattern on the recent rally. There is an old gap on the charts down at $11.20 to $11.13 and that area could easily be filled today in the wake of a soft payroll reading. It is also possible to see an ultra-strong payroll reading apply pressure to silver prices, but we are doubtful of that result. We think the overall uptrend pattern in silver will remain intact through the action today but we suspect that some early weakness will be seen.”

Daily Commodities Comments
for 7/07/2006 

 

 

 

technorati tags:Silver, Money, Investing, Commodities, Precious, Metals

Gold is down but not out say analysts and, of course, mining presidents. The recent rally of gold that sent the price to 26 year highs has seemed to cool down in the last month dropping the price back down below $600 an ounce signaling an end to this portion of the bull market. Silver also saw record highs as it followed suit right with gold shooting above $15 an ounce before settling back in around $10, still a high price.

In a recent article found in Rocky Mountain News titled Newmont says gold rally will resume after September a prominent Gold Mining president, Pierre Lassonde said that gold will become bullish again after September. He claims recent pullbacks to the gold market came after the steadily declining dollar slowed it’s decline this last month causing investors to take their money out of gold and put it elsewhere.

The reasoning. A dollar that essentially has no where to go except weaker. To quote the article directly:

A widening U.S. deficit means more dollars need to be converted into foreign currency to pay for imports. It also indicates the dollar may need to weaken to make U.S. exports cheaper and imports more costly to close the gap.

This all makes sense and definitely plays on the fears of many investors as well as those seeing only red for the US economy. However, this is more of a doom and gloom outlook for the dollar and some say the rally for gold and silver is over and the bull market that many say will surpass $1000 and ounce gold and $50 and ounce silver, we’ll wait on see.

Precious metals retreated over the last 24 hours amid worries of a falling dollar, speculation that the fed will most certainly raise interest rates, and shaky news from the middle east.

Even though the dollar is lowering the feds news that interest rates are going to be rising again put a stop to any short lived rebound that was seen in both Gold and Silver as of this week. The rising interest rates are in hopes to curb inflation that has been running rampid over the past few quarters.

The Fed’s news also comes at a time when global central banks are said to also be looking into raising key interest rates to reduce inflation and also the skyrocketing commodities prices that the world has seen over the last half year. This would mean lower prices for commodities and hurt some of the newer funds that started this year to cash in on the precious metals climb. Most notably, iShares Silver Trust (SLV:AMEX) and StreetTracks Gold Trust (GLD:NYSE) which lost 2.43 and 0.60 respectively in the days trading.

Other notables being hit today on the uncertain economic outlook and threats of interest rate hikes was Market Vectors Gold miners ETF (GDX: AMEX) and Glamis Gold Ltd (GLG:NYSE). GLG however was big news Wednesday when it announced it was doubling gold reserves and the price jumped from 31 to 34 in early morning trading.

Other news to watch out for as the precious metals market continues to rock back and forth is the possible nuclear missile testing being done by North Korea and the continued enriching of uranium by Iran. Both of these tense topics may keep precious metals at the highs we are seeing and if even a few of the worlds banks decide to forgo any interest rate hikes silver and gold could come charging back towards the end of the year.

Have you been thinking about buying silver? Now may be the perfect time. Although silver has been put down lately due to a 100% increase in price in the last year (overpriced or finally catching up) silver may still be a good buy after being pummeled this last month back down to only a 50% year gain of $10 per troy ounce of silver.

For those of you who read finance books you may have read or been suggested to read Rich Dad, Poor Dad by Robert Kiyosaki. A great book and if you are looking for a different frame of mind when it comes to investing I suggest checking out what he and his co-author have to say in their best selling book.

If you have and are looking for more words of wisdom from Robert than you might want to check out his column at Yahoo Finance. He writes a good article over there every couple of weeks and in May posted something about silver and what he thought of the potential to buy even though silver and gold have skyrocketed since the first of the year.

His article titled Five Factors Favoring Silver discusses why Warren Buffets famed advice of “Walk away when everyone else is buying” might not apply yet to silver. He lists five factors he feels that make silver a good buy and why investors should think about adding some silver to their portfolios. These factors are:

1. Silver is Consumable meaning that it has uses in industry other than just ornamental.
2. It’s a precious metal used in money, real exchange.
3. The dollar is becoming more and more worthless.
4. Equities tend to move opposite of commodities, stocks are going down, commodities should go up
5. Silver can now be traded through a paper asset, the exchange traded fund SLV

These are of course just a few reasons why silver may be a good buy but silver no doubt will continued to be watched by many of the worlds top investors and we will follow as close as possible to bring you up to date news on who’s buying what.