Wednesday, May 2, 2012


India Silver prices seen jumping 80% to historic Rs 100,000/kg by 2012-end(MARKET VIEW)

Bullion traders in India are calculating that Silver prices could rocket to new historic highs by the end of 2012. Silver imports had surged to 4800 tonnes in 2012 and demand, though weak in the first quarter of 2012, is expected to pick up as higher prices attract investors.

"The trend is fast picking up. Investors and jewellery lovers prefer more of silver jewellery as gold prices go up consistently. If the positive sentiments can keep up the pace, silver prices may go over Rs 1 lakh, beating last year's Rs 75,000 levels", Economic Times quotes Ketan Shroff, managing director of Pushpak Bullions – one of the biggest suppliers of bullion in India.

MCX current month silver prices are trading at Rs 55,500/kg and an increase to Rs 100,000/kg will come to an 80% surge on current prices.

International silver prices are trading at $80/oz and an 80% rise will mean prices of around $54/oz. Earlier, silver expert David Morgan had predicted that silver prices could hit $60/oz in 2012. Many other analysts have also been bullish on this precious metal and have argued the case of silver prices reaching new all time highs during the year.

- Umesh Shanmugam

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