Gold Silver
What Is The Price of Silver Per Ounce
What commonly comes to mind when the word silver is mentioned?
Accessory? Color? Or probably those shimmering Christmas balls?
Students who have studied chemistry may try to boast that its chemical symbol is Ag. But what really is silver?
Silver is a very ductile metal, which means it is a good electricity conductor. In fact, among all metals, it is the most electrically conductive–even more so than copper. But because it’s more costly and prone to tarnishing, its electrical purposes have been deterred. It’s also malleable, which means it can be bent, though it’s a little harder than gold. It has brilliant white metallic luster and can take a high level of polish.
Apart from being a popular accessory, silver has other uses thanks to its precious metal properties. To this date, there are still many countries that make use of silver as part of their respective currencies.
Silver is also used in award medals which symbolizes second in rank, with gold as the first in rank of course. And though it’s a poor second to gold, silver is still valuable. In fact, many people, especially the younger generation, prefer silver to gold as jewelry because of its color. It may not be as pricey as gold, but there’s no question that it’s just as elegant.
The price of silver per ounce is determined through the gold/silver ratio which is often analyzed by traders, investors and buyers. The American law fixed the gold/silver ratio in 1792 at 1:15; one troy ounce of gold would buy 15 troy ounce of silver. These days, the current price of silver per ounce is determined by the private and institutional investors. Industrial demand also affects the price of silver per ounce because in the recent years, the use of silver items is increasing as its viable uses in batteries, superconductors and microcircuits are being explored.
Mail this post
Silver Price Per Ounce Today
Much like gold, silver can be used as an investment as it is considered a form of money and store of value. The price of silver, however, has been volatile and as with any other consumer good, it can fluctuate according to demand. What used to be $49.50 per ounce in the market (during the 80s), the silver price per ounce today, as of November 20, 2009, is $18.45.
Silver is usually compared to gold as its price is usually determined by tracking the price of gold. In 1792, the United States set the ratio of gold to silver as 1:15 or one troy ounce of gold for 15 ounces of silver. In the 20th century, this ratio has gone up to 1:47.
Silver price per ounce today may not be as valuable as it once was, but it has been on the rise since the start of the year. As mentioned, silver price is now at $18.45, up 71% from $10.79 at the beginning of 2009. It is still nowhere near the gold price, however, which closed at a record high of $1,141 on November 19, 2009.
Despite its big difference from gold, silver price per ounce is still expected to rise. There is the increase in industrial demand as new items in the form of electrical appliances and medical equipment make use of silver. There are also applications for silver in the development of batteries, superconductors, and microcircuits.
Although the worldwide economic crisis has reduced the silver price per ounce today, industry experts still say that in the long-term, silver demand will increase, with the advent of lithium-ion batteries in electric cars. The increase may not be immediate as the technology of the digital camera has reduced demand for silver halide-based photographic film, but silver is still expected to play catch-up to the value of gold.
Mail this post
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/tny_ag_en_usoz_2.gif)