When the price ratio of gold to silver extends out into its higher ranges, the relationship tends to be called into
question.
But even when the ratio approaches 30:1, or even closer to its historic ratios, the relationship should always be at the forefront of investor’s minds in India and abrod. According to U.S. mint data. Silver retail coin demand has been much stronger relative to gold, though obviously the overall dollar
amounts pale in comparison. The amount of silver that arrives on the retail market is only
a small percentage of the total actually produced.With such small amounts of the metal circulating, plus a massively managed and colluded price determining mechanism, silver is prone to volatile swings that occur with even the smallest shift in demand. In fact, the majority of the volatility can be blamed on the battle between speculators and bullion banks with respect to exchanges.Single grams or fractional gold is generally expensive, often costing as much as 15-20% over spot. In contrast, silver ounces, which cost
less than gold grams, often trade with a much lower premium.
Silver MCX September futures:
www.bullsstreet.com's advice:
Go long above 45330 for a target of 45665
question.
But even when the ratio approaches 30:1, or even closer to its historic ratios, the relationship should always be at the forefront of investor’s minds in India and abrod. According to U.S. mint data. Silver retail coin demand has been much stronger relative to gold, though obviously the overall dollar
amounts pale in comparison. The amount of silver that arrives on the retail market is only
a small percentage of the total actually produced.With such small amounts of the metal circulating, plus a massively managed and colluded price determining mechanism, silver is prone to volatile swings that occur with even the smallest shift in demand. In fact, the majority of the volatility can be blamed on the battle between speculators and bullion banks with respect to exchanges.Single grams or fractional gold is generally expensive, often costing as much as 15-20% over spot. In contrast, silver ounces, which cost
less than gold grams, often trade with a much lower premium.
Silver MCX September futures:
www.bullsstreet.com's advice:
Go long above 45330 for a target of 45665
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