Silver is on track to reach record highs over the next 36 months, said precious metals investment expert Max Baklayan. “We expect to see record prices on an annual average basis at some point in 2024,” he said.
The price of the white metal reached an all-time high of $49.51 per troy ounce in 2011. Now, after gold’s record highs in 2024, it’s silver’s turn.
A jump in the price between 4-9 times is suggested by the historical ratios with gold – we are waiting for a rise to 260 dollars per ounce (currently the price is: 26.79 USD / oz), commented the expert.
Silver is the second most traded commodity after oil and key to the green transformation – it is sought both as a financial and as an industrial metal, adds Baklayan.
With an average return of 9% across the world’s major currencies over the past 20+ years, silver is an excellent and affordable hedge against inflation, he believes.
In recent months, gold has surpassed nominal record levels and is chasing $2,600 per ounce, and very soon it is going to beat the price peaks in real terms as well.
Silver is expected to hit similar highs very soon, the expert claims.
Silver is the second most traded commodity in the world after oil, at the same time it is also a monetary financial metal – historically it has been used by every great empire, starting with the ancient Greeks and reaching America in the 20th century, Baklayan notes.
The combination of declining supply, increasing industrial and monetary demand, its recycling in very small volumes, and not least the fact that most mines extract silver as a by-product, lead to the conclusion that very soon silver will mark a new price record.
What are the main two reasons for this outlook:
- The green transformation and commitments made by all major governments. The green deal goes exclusively and mainly through silver, or more specifically the production of photovoltaics and batteries for electric cars.
- Search for the precious metal outside the industry – in the form of bars, coins, jewelry and silverware, mainly for investment purposes. Silver is the gold of the middle class, and with the rise of the yellow metal, more investors are turning to the white in parallel as an undervalued alternative.
In Bulgaria, the demand for silver has increased 10 times over the last year. Max Baklayan gives some advice to investors in this precious metal:
- Keep your silver for a minimum period of 5 years;
- Use silver as an affordable hedge against inflation,
- Look for silver with the tightest possible spread to maximize your results.
