Silver: Time to catch up
Gold prices seem to be approaching their all-time high. But what does silver do? At the moment, gold's brother metal is still far from its all-time high. We know from the past that silver has risen sharply in price in times of high inflation. On January 18, 1980, admittedly a long time ago, the troy ounce of silver cost almost 50 US dollars. In April 2020, the silver price was at its lowest level since 2009.
This should now change. Looking at the financial crisis, silver took more time than gold to make its way up. But then the price rose more than gold. The gold to silver ratio changed dramatically. This scenario was not only evident in the financial crisis and it could now be repeated.
In March the gold-silver ratio was still at 125, a record high. Now it is at around 102, and reasons for a rise in the silver price can be found from a chart technical perspective. There is also strong demand for coins and bars from investors who prefer physical silver. The big brother gold has become very expensive at the moment. Many silver experts also agree that the precious metal is clearly undervalued.
If the experts of the precious metals are right, besides physical silver, especially the investment in silver stocks would be the big chance to make profits in a silver price rally. Because if the silver price rises, the value of the silver companies also rises.
Here you could go for Endeavour Silver or MAG Silver. Endeavour Silver not only successfully produces in its three silver-gold mines in Mexico, but also owns a number of exploration and development projects in Mexico and Chile: https://www.commodity-tv.com/play/endeavour-silver-investor-update-april-2020/.
MAG Silver and its partner Fresnillo will start production from the Juanicipio project in Mexico earlier than expected, in mid 2020: https://www.commodity-tv.com/play/mag-silver-corporate-teaser-2020/. The material from the mine will first be processed in the nearby Fresnillo plant, later in the Juanicipio plant.
The latest company information and press releases from Endeavour Silver (https://www.resource-capital.ch/en/companies/endeavour-silver-corp/) and MAG Silver (https://www.resource-capital.ch/en/companies/mag-silver-corp/).
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