To put it simply, the price of spot silver is directly proportional to the price of spot gold, because they both have certain currency attributes and hedging attributes. Generally, when the price of gold rises, silver also rises, and when the price of gold falls, silver also falls. Gold and silver are both precious metals, but the price of silver is slightly lower, so some people say that silver is the gold of the poor, and they have a certain linkage in price, but the price of silver is low, and the threshold for investment is relatively low. The financial attributes of silver are not as good as gold. The main use of silver is in industry, and the fluctuation is relatively large, so gold is more suitable for long-term investment, while silver is suitable for short-term speculation.
Spot Silver Silver is a popular precious metal investment product. If investors can grasp the relationship between silver prices, gold and the U.S. dollar, they can clearly understand the role silver plays in the financial investment market. Factors that affect silver price changes, and judge the trend of silver prices.
Since the spot silver in the international market is denominated in US dollars, the price of silver will be directly affected by the strength of the US dollar, showing an inverse proportional relationship with the US dollar. Variety.
From the perspective of silver demand, when the U.S. dollar depreciates and other currencies are used to buy silver, the same amount of money can buy more silver, which stimulates demand, leads to an increase in demand for silver, and then increases the price of silver. Conversely, if the U.S. dollar appreciates, silver will become less valuable as an investment for investors using other currencies, suppressing demand and causing silver prices to fall.