Meanwhile, silver has far greater industrial applications, so benefited from the improving economic optimism, Flynn said. Further, the metal this spring was widely considered undervalued relative to gold, so likely drew some investment buying in its role as “poor man’s gold,” as it is often called.
“People have looked at silver’s performance recently and it looked cheap compared to gold,” Flynn said. “So the combination of the factors – the economy is doing better, which will increase industrial demand, along with the fact that people will want to exposure to [precious] metals and can do it cheaper in silver – seems to have attracted more people this week to silver.”
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