By the end of next year, financial experts anticipate silver prices to double or triple from its $29-per-ounce price – the mid-December level.
The financial systems around the world have been shaken up by a chaotic 2011, with rumors of complete financial collapse plaguing markets for the better part of this tumultuous year.
With financial worries spilling over into the new year, precious metal bulls have something to look forward to in the coming year…
David Morgan, precious metals analysts with Silver-Investor.com, says silver is set to hit $60 by the close of 2012.
Morgan asserts that an increased number of investors will run to silver markets (gold markets too) in seeking a safe-haven amidst “continued deterioration of the world financial system.”
According to HSBC Securities, a re-invigorated silver investor interest will allow for a 7 percent expansion in global demand next year. TD Securities says that expansion will be even greater, estimating silver investor interest to pick up by 9 percent.
That would mean investor demand could spike to a historically-unheard-of 968 million ounces (if the lower percentage holds true) and possibly all the way up to 1.021 billion ounces if the latter estimate comes to fruition.
With debt levels in our country remaining at record-highs, the risk of default lingers. Whether we are able to pay those debts or end up defaulting, economic activity and spending will be cut drastically. Not just in the United States, but around the whole world. This could lead to another stock market crash…” ‘Before this happens, it would be foolish to talk about a top in precious metals,’ because these conditions are precisely what will drive silver prices significantly higher,” explains analyst Hubert Moolman.
Senior Fellow at GoldMoney Foundation, Alasdair Macleod, also expects silver to take some bold leaps in the year upon us. In lieu of a dying fiat currency, Macleaod believes silver and gold will undoubtedly take the reigns as the financial currency of choice as the purchasing power of dollars, euros, pounds, and other currencies wanes.
In these uncertain and changing times, more and more investors will be forced to invest their wealth in safer places. Macleod understands this, saying:
“We don’t have very long left to live under fiat money. We’re on an accelerating road to a complete destruction of paper currencies, with only about two and half years left to go. The economic establishment is collapsing. On one hand it’s frightening, and on the other it’s very exciting.”
…
“Looking at my models, gold should be priced around $3800 by the end of 2012, and silver’s got potentially a triple or more over the next year considering the shortages.”
…
“We live an upside down world where, the things meant to be risk free are suddenly full of risk, and the parties which traditionally carry the risk are absolved of it.”
Brittany Stepniak – Wealth Wire Wednesday, December 28th, 2011