The whitish metal has achieved 22 percent increases in value since scraping its lowest price in 11 months in December. Also known as the volatile metal, silver futures dropped 44 percent in an eight-month period. Those losses were prompted by the reduced pace of growth and expansion from Europe to China.
"Silver got hammered and now we're into a phase where it will do quite well," analyst Dan Smith with Standard Chartered in London told Bloomberg. "Appeal comes from its widespread use in both industry and investment. I think it's relatively cheap."
At 2:27 p.m. on Wednesday, silver futures gained 1.62 percent, a 53.8 cent lift to $33.80 per troy ounce.
The month of January saw the whitish metal increase 20 percent in value, according to Kitco News. The performance of the precious metal only was trumped by the performance of orange-juice futures, which advanced in part due to the discovery of a fungicide approved for use in Brazil but not in the U.S.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.