Silver is looking downward again with the start of a new trading week pulling the price down to around $21.50 an ounce. While the price looks to have some support around this level that should prevent silver from falling significantly lower, silver investors are still left wondering how long it will be before the metal returns to the considerably higher levels seen just two months ago.
This week brings the prospect of interest rate hikes from the Federal Reserve and the Bank of England, which is likely to place non-yield-bearing assets under further pressure. That said, with both these moves well forecast, the reaction on Wednesday and Thursday respectively when the banks’ decisions are confirmed is likely to be muted unless either bank diverts from expectations.
Live Silver Price – $/oz
Silver’s lower trading volumes compared with gold has seen it endure a more volatile period despite it being the same underlying factors that have been driving both precious metals in recent months. Currently, the prospect of enduring high inflation impacting on economic growth is pulling equity markets down with silver also dipping given the metal’s industrial appeal.
However, when investors finally find the time to fully access silver’s long-term outlook, a metal that is used in the key industries of our time; namely technology, solar energy and electric vehicles, surely has plenty of room for future price growth.
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