Silver to reach $20/oz by year’s end: Commerzbank

摘要

Silver prices are likely to rise to $20/oznby year’s end due to investment andnindustrial demand despite the recentnslide in prices that occurred in tandemnwith base metals, analysts with Germanninvestment bank Commerzbank saidnMonday. “The expected recovery ofnindustrial demand and continuing highninvestment demand should give the pricenof silver another boost,” bank analystsnsaid. “Furthermore, compared with gold,nsilver can still be considered low-priced,nas can be seen in the current gold/silver ratio, indicating that silver has the poten-ntial to catch up. We therefore assumenthat the price of silver will increase ton$20/oz by the end of the year andnexpect the upward trend to continue nextnyear up to $23/oz,” Commerzbank said.nAccording to various estimates, industrialndemand may increase by up to 50 mil-nlion oz by 2011. But that would meannthat the record high of 2007, almostn640 million oz, would not be reached byna long shot, analysts said, adding: “Thisnindicates further recovery potential fornindustrial demand.”