Silver prices traded relatively flat on Thursday, gaining 12 cents. However, due to the uncertain global economy stemming from the Eurozone crisis, many analysts have cut their forecasts for the year.
Silver prices broke the $30 mark for the first time in nearly a month. Fueled by a weaker dollar and successful bond auctions in Italy and Spain, the price of silver may be heading higher still.
Despite the recent drop in gold and silver prices in the international markets, prices for precious metals in India still remain at a premium and buyers are holding out for cheaper prices, stunting demand.
Many companies are looking at Turkey as a potential bonanza of natural resources with the exploration and development companies looking to uncover the country's untapped mining potential.
On Wednesday silver fell below the $30 per ounce mark for the first time since October. While some modest gains were made on Thursday, there is a real possibility that silver will be a net loss over 2011. Analysts stress to stay focused on the Eurozone and Dollar Index.
Concerns over the state of the European economy are prompting investors to seek liquidity and move away from precious metals like silver.
Platts reported that precious metal ETPs won out over all other exchange-traded fund products in third quarter 2011, attracting the highest inflows.
While prices for silver traded fairly flat today the big news came from statements made by Fed Chair Ben Bernanke at the Federal Open Market Committee. The Fed lowered prospects for US economic growth and hinted that another round of stimulus measures is not off the table. Prospects of QE3 have stoked the flames of silver bulls.
Silver suffered a sharp setback in early trading Monday as the market reacted to the Bank of Japan’s move to devalue the yen. Investors and traders will be monitoring the actions of other central banks, such as China which many anticipate will loosen its monetary policy by the end of the year.
Silver Investing News readers are intrigued to down right passionate when it comes to the topic of silver price manipulation. In a recent survey, we asked the question, “Do you believe the silver market is rigged?” to which an eye-popping 66 percent responded, “Yes!”
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