There are many reasons why experts believe that silver prices will skyrocket over the coming decade.
1) The dollar is being devalued and many countries are dropping the U.S. dollar as their trading currency. This may cause a flight out of the dollar and a run to precious metals such as silver.
2) Silver is used for industrial purposes. Silver is the highest conductor of electricity and is needed for solar panels, cell phones and computers. The demand for this precious metal will cause silver prices to rise over the coming years.
3) Silver supply is in short. They simply cannot keep up with the demand.
4) Silver is used for medical purposes such as colloidal silver anti-bacterial therapy as well as silver is used in X-rays. This will keep demand high and silver prices high.
October 2, 2012 – Silver prices rose over 23% last month but seems to be hitting a resistance at $25. After such a large run up it is normal to have some consolidation. The run-up was fast and furious and what we are seeing is resistance at this current price level.
Sept 13, 2012 – Federal Reserve Announces More Money Printing!
The federal reserve has announced their plan to buy $40 Billion of MBS a month. Money printing to infinity! Is the dollar doomed? Gold and silver prices respond positively and are off to the races!
Sept 8th, 2012 - Silver prices surges due to large banking firms taking massive losses by covering some of their silver short positions, before anticipation of more quantitative easing by the Federal Reserve, in the coming weeks. Investor sentiment is shifting towards expectations of an inflationary environment as opposed to a deflation. The inflationary sentiment combined with short covering has caused the surge in precious metals over the past week.
August 31st, 2012 – Precious Metal prices rise after Federal Reserve meeting neglects to discuss further QE3 quantitative easing. The Federal Reserve failed to mention their future plans, but did not mention that they would not consider doing more quantitative easing in the future. The next meeting in September could still lead to an announcement of QE3. Precious metal showed strength today, and has surprisingly reacted in an opposite fashion to the usual decline after meetings such as this. The fact that the price of silver and gold have risen is a bullish signal. Could this be the take-off that precious metals have been waiting for? Large investors such as George Soros have been buying gold exchange traded funds in large amounts. In addition, central banks around the world are buying gold
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