Move Over to Silver Jewelry While Gold Rises in Value Jul 30, 2020News Today, the high rise of the gold rate on the world stock market hurts gold jewelry businesses. The higher the value of gold, the higher the cost of producing jewelry is needed. Nevertheless, producers of precious metals such as silver have seen outsized gain as gold prices hit an all-time high. Here are the reasons why Move over to Silver Jewelry While Gold Rises in Value. Now, gold hit a record high as investors are rushing towards the haven asset. The very same factors that are driving gold higher could send stocks lower. Let’s dig deeper into the case for Silver, and why precious metals investors might benefit from looking beyond just gold. Reasons Why Switch to Silver or Gold Plated Jewelry Gold Hitting Records Highs The price of gold climbed to an all-time high, rising above $1,940 per ounce. Gold has gained almost 30% this year. The party should go on for a long time, as Bank of America foresees the yellow metal going to as high as $3,000per ounce over the next 18 months. Silver Outshines Gold Investors are flocking to gold in droves as they see the yellow metal a vast store of value and hedge against market turmoil, leading to a steep jump in prices. But silver prices are appearing stronger than the yellow metal. Silver started catching up with the gold rally and has been outshining in recent weeks. Silver Manages to Top Gold Gold is already hovering around a record high level, and Silver is hovering around a six-year high. It means Silver has more room for growth if the operating backdrop remains favorable. Amid the latest developments, Silver has won an edge over the gold as the white metal is likely to continue climbing due to an increase in industrial demand. Value of Silver Both Silver and gold are precious metals and, as such, are more valuable than many other metals used for jewelry. However, Silver is the most affordable of the precious metals used for jewelry. Because of its lower price, silver jewelry is ideal for costume jewelry or everyday pieces. Silver’s greater affordability makes it more ideal for gifting. Want to give some precious metals as a gift? Silver just made it more affordable to do so. Interestingly, at one stage in history, Silver was valued more than gold. The Silver Price is More Volatile As an investor, this volatility can be your friend. Historically, Silver has fallen more than gold in bear markets but risen more than gold in bull markets. Here are some examples of how gold and Silver performed during some of the biggest bull and bear markets in modern history: You can easily see that on a percentage basis, Silver rises much more than gold in bull markets, and falls much farther than gold in bear markets. So as an investor, if you buy during a bull market, history says Silver will hand you a higher return than gold. Probably by a lot. And if you believe, precious metals are beginning a new bull market. Besides, Silver’s higher volatility means it will better perform than gold in the upcoming bull market. The higher volatility also means that you’ll have to be more nimble when it comes time to sell. Silver will selloff faster and farther than gold, so when the bull market looks to be peaking, be sure to sell! If you’re comfortable with the higher volatility and buy near the beginning of a bull market, purchasing silver is like adding an extra shot of espresso to your portfolio. What has Silver done since then? As you can see below, Silver has returned 29% — more than 4X gold’s return of 7% over the same period. Where is Silver today? Is it still offering investors an attractive risk-reward set-up? The impressive recent gain is what we would call a “good start.” It is expected that Silver continues to outperform gold, as the advancing market in precious metals continues to gain momentum. Conclusion While the surging gold price has received most of the spotlight in the market, Silver will outperform the king’s monetary metal over the longer term. Key fundamental factors make Silver the more attractive asset and investment to own versus gold when we look closely at the data. Therefore, silver jewelry will become the best alternative for fine jewelry. This is the right time for retail gold jewelry business owners to jump in silver jewelry in their store to offer a piece of affordable fine jewelry for consumers. Move Over to Silver Jewelry While Gold Rises in Value. If you’re looking for high quality and reasonably priced sterling silver jewelry, check out the Royi Sal Jewelry. Sources: https://indianexpress.com/article/explained/why-gold-prices-are-going-up-and-will-the-trend-continue-6519592/ https://www.ccn.com/gold-hitting-record-highs-bad-news-dow/ https://www.bloomberg.com/quote/XAU:CUR P.S. Royi Sal Jewelry, as a decades-long leader in silver jewelry design and manufacturing, invites you to download our latest magazine here and profit from the exceptional jewelry designs at affordable prices you will find in the magazine. Click here to download it now. Related Posts:Gold vs Gold PlatedGold vs. Gold PlatedSterling Silver vs Pure Silver4 Interesting Facts About Recycled Gold
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