Tuesday 9 November 2010

Gold and silver at record highs.

On 7 February 10, I mentioned that my research showed that silver was very undervalued and was trading at the higher end of the Gold:Silver ratio since 1980. At that time, silver was US$15.15/oz while gold was US$ 1,052.20/oz. Anyone who bought some of these precious metals then would be deep in the money now.

To buy a 1oz Gold Bullion coin now from UOB would cost S$2,029.00.  To buy 1 oz of silver in UOB's Silver Savings Account would now cost S$36.44!

Gold rose to a record high for the fourth straight session on Tuesday, as inflation worries and euro zone sovereign debt woes continue to lure investors to precious metals. Spot silver hit a new 30-year high just below US$28, and palladium extended gains to a new nine-year peak of US$712.75. Spot gold rose to an all-time high of US$1,412.75 an ounce, before easing to US$1,410.45. 
Read article here.

Related post:
Buy more silver on weakness.

2 comments:

Parag said...

It indeed hard to believe in tough economic times, how the prices of metals, specially gold and silver have kept on rising.
Investing in gold and silver

AK71 said...

Hi Parag,

Inflationary forces are very real in an era of continual QEs. :)