Silver Surges to $31 per Ounce, Outshining Gold
Enthusiasts of precious metals have had a highly favorable week as both gold and silver have experienced significant gains. On Saturday, May 18, a troy ounce of gold was valued at $2,414.71, while silver was priced at $31.49 per ounce. While gold saw a respectable 2.3% increase, it was overshadowed by silver’s remarkable 11.8% surge against the U.S. dollar.
Peter Schiff, a devoted follower of precious metals, expressed his excitement on Friday, stating, “Silver is up over 30% so far in 2024, trading at its highest price since February 2013. It serves as both a precious and industrial metal, making it an even more reliable indicator than gold of accelerating inflation. The Fed is mistaken, and investors are misguided. Brace yourselves for a crisis.”
Many analysts and market observers claimed to have predicted this moment. “I’ve been saying lately that silver will soon surpass the $30 mark, and now it has,” wrote a commodities analyst on X. “Understand that your future depends on capitalizing on this bull market for precious metals. And remember, nothing matters more than price. Absolutely nothing.”
There are indications of a potential silver squeeze brewing as social media posts fervently discuss the topic. With silver reaching multi-year price highs, it is anticipated to experience its fourth consecutive annual supply deficit in 2024, driven by unprecedented demand for solar panels. Additionally, the tightening supply conditions have narrowed the gold-silver ratio, indicating increased investor interest in silver as an alternative to gold.
“I’ve been waiting 13 years for this moment. #silver #silversqueeze,” wrote one individual on X. Interestingly, the spike in silver prices and the hashtag #silversqueeze emerged during the meme stock and Wall Street Bets craze of 2021. The recent surge in meme stocks and the resurgence of the so-called ‘Roaring Kitty’ seem to have reignited ambitions for a silver squeeze. Users on social media have taken note of this recurring trend.
While individuals like Schiff view the rise in silver prices as a warning sign of an impending crisis, others see it as a long-awaited opportunity in a robust bull market for precious metals. As market dynamics continue to evolve, this latest silver saga has captivated market observers and revived the possibility of a coordinated squeeze reminiscent of the meme stock frenzy in 2021, adding an intriguing layer to the unfolding narrative.
What are your thoughts on the alleged silver squeeze? Let us know in the comments section below.
