(Kitco News) Silver is looking to play catch-up to gold and potentially outperform the yellow metal next year, according to analysts, who are eyeing the U.S.-China trade progress and silver’s improving demand as key drivers.
Both silver and gold had a stellar year despite dropping off its 2019 highs reached this fall. During the last 12 months, spot gold rose around 19% and silver advanced 16.9%, according to Kitco’s aggregated charts.
Spot silver prices reached their 2019 peak at the beginning of September, trading above $19.60. At the time of writing, spot silver was at $16.99 and March Comex silver was at $17.07 an ounce. The biggest drivers for silver next year will be the U.S.-China trade situation and global growth prospects, Standard Chartered precious metals analyst Suki Cooper told Kitco News on Tuesday.
“For silver, trade negotiations are one of the key risks. Given the impact, it has on industrial demand growth, economic growth, and outlook for the tech sector,” Cooper said.
“We do expect the Federal Reserve to remain on hold in 2020, but there will likely be continued concerns around the U.S.-China trade negotiations… Given that there is still negative-yielding debt on a global basis, this is likely to create a positive backdrop for safe-haven assets.”
For the rest of this article: https://www.kitco.com/news/2019-12-16/Can-silver-prices-top-gold-s-performance-in-2020-Analyst-watching-improving-demand.html