NEW YORK (Commodity Online): Silver prices are so low right now that there is a huge room for upside movement, says CEO of Kingsgate Consolidated -Gavin Thomas. Kingsgate Consolidated is an Australia based mining company.
“Silver is a fantastic opportunity. I see there’s a lot of upward price (for the metal), because of the lack of supply”, CNBC quoted Gavin who also went on to add that he expected prices to hit $50 within the coming 24 months.
The reasoning being that lead and zinc mines contribute to silver supply since silver is often a by-product of these mines. And with investment in lead and zinc mines diminishing, supplies will also dwindle. Add in the increasing demand from industry and investment sectors, one can see a clear supply issue developing in the coming future.
Silver hit a high of around $50/oz last year in May after which prices have mostly weak. With uncertainty in the global economy increasing with each passing day, many analysts feel that silver prices could surge multi-fold in the months to come.
