03 May 2011
Silver Corrects... At last
Silvers long overdue correction brings bargain hunters looking as Gold in GBP terms nudges records
Silvers record breaking run was stopped in its tracks on Monday as the white metal corrected sharply on news of Osama Bin Ladens death. Or that was how many media outlets covered the Silver price decline story. In fact, the overdue price correction, continuing into tuesdays trading and currently 10 percent, was an accident waiting to happen. The accident was in fact caused by a rally in the US dollar.
In reality of course, the US Dollars woes are unlikely to be reversed by a single win, however symbolic, in the war on terror.
Gold in GBP terms painted a happier picture as it nudged records on Tuesday, trading at around £935 per troy ounce.
At BullionSupermarket.com, the falls in the silver price saw a reduction in the frenetic traffic seen recently, but bargain hunters kept silver price comparisons busy. Silver buying remains subdued as people wait for the dust to settle.
As a result, Benchmark fixed price 1 ounce silver traded at the lowest premiums seen in some time in the UK at 30.23%.
In the US, Fixed price 10 x 1 troy ounce gold Krugerands traded at 7.46%.