At the end of June, the people of the U.K. voted out of the European Union. This caused turmoil and uncertainty in the markets, which caused many silver investors to buy into the uncertainty. This shot the price of silver above 20 USD/oz.; a two year high that lasted till the week of July 18th. That Wednesday, the price of silver dropped to 19.40 USD/oz. as the American dollar became a strong competitor. This was short lived as the Yen knocked down the American dollar, and the low silver prices increased the demand of silver. Silver prices went back up into the 20’s USD/oz. ending the month strong at a silver price of 20.29 USD/oz.
What Does This Mean?
This shows us that the people are starting to loose trust in the economy and finding silver and gold as a safe haven against the economic turmoil. Canadian Bullion Services is an international precious metals dealer headquartered in Toronto, that is ranked among the top precious metal dealers in Toronto. Visit our main site for more information, and keep up with us on Twitter and Facebook. Don’t forget to check out our weekly posts every Tuesday!
Do you think the price of silver will ever surpass the price of gold? Let us know in the comment section below!
Image Source: thesavanahbananas.com