SILVER PRICES surged above US$30 per ounce on Monday, reaching their highest level since February 2013 as a wave of retail investor interest swept through the precious metals market.
Spot silver briefly touched US$30.03 per ounce, rising as much as 11.2% during its third consecutive session of gains, according to Reuters.
The rally followed social media posts encouraging purchases of silver mining shares and exchange-traded funds backed by physical bullion. Attention shifted towards silver after the extraordinary trading activity surrounding GameStop and other heavily discussed shares.
Silver subsequently retreated from its session high. At 19:27 GMT, spot prices stood at US$28.78 per ounce, still approximately 6.6% higher on the day.
Gold recorded a more modest advance, trading around US$1,860.93 per ounce at the same reporting point. US gold futures settled approximately 0.7% higher at US$1,863.90.
Silver’s stronger performance narrowed the gold-to-silver price ratio. Reuters reported that an ounce of gold bought approximately 63.6 ounces of silver, compared with 73.3 ounces on 25 January.
Analysts remained cautious about the durability of the sudden rally, with the retreat from US$30 highlighting the volatility accompanying the surge in investor attention.
Disclaimer
This publication is for educational purposes only and does not constitute financial advice. It does not take into account any person’s investment objectives, financial situation or needs. Before making an investment decision, consider whether the information is appropriate to your circumstances and seek advice from a licensed financial adviser where necessary. Past performance is not a reliable indicator of future performance.