What a month for silver: The precious metal gained almost 24 percent in May. Silver was the largest monthly increase since 2011. Sure, you have to consider the level of silver. Since silver is also an industrial metal, the silver price suffered severely from the economic downturn triggered by the corona pandemic. But after the economy has started up step by step, silver is also recovering.Interesting for investors: An extensive correction for silver, which started in 2011, should have ended in March. It has been nine years since silver briefly stood at around $ 50. This was followed by an almost endless descent in a huge A-B-C correction that should have bottomed out this March. Silver is now making every effort to join the rally in gold prices. Good news for precious metal investors: the upward movement is gaining breadth.
There is more important messages
But silver sends another, actually more important message: the best is yet to come. For gold as well as for silver. First, a look at the gold price: The precious metal has not yet reached a new all-time high in US dollars. This is already the case in euros, yen, Australian dollars, Canadian dollars and many other currencies. In other words, it is above all the still strong US dollar that is preventing the gold price from reaching a new all-time high. But with the US dollar (measured by the US dollar index (DXY)), there are many signs that it is forming top. This should pave the way for a new all-time gold price high – and more.