Silver Prices Have Gained 2.6% in the Last Week – and That’s Just the Start

This is a syndicated repost courtesy of Money Morning. To view original, click here. Reposted with permission.
Silver prices are finally on the rise again, after their price weakness appears to have finally ended over the last trading week. Since my Oct. 31 update, when silver reached a bottom of $16.69, the metal has rebounded 2.6%, to $17.12 today (Tuesday, Nov. 7).
The biggest catalyst this week is uncertainty surrounding Saudi Arabia and the kingdom’s arrest of 11 high-profile princes and four ministers. Prince Mohammed bin Salman – the son of King Salman – is widely seen as the power behind his father’s throne. While the government cited efforts to purge corruption as the reason for the arrests, they appear to be Prince Mohammed’s move to consolidate his power.
The news not only pushed oil prices up nearly 3% yesterday (Monday, Nov. 6), but it also gave the silver price a 2.4% boost. That gain outperformed gold’s 1% gain and demonstrated the relative ‘undervaluation’ of silver compared to gold right now.
And as much as gold stocks remain an incredibly undervalued sector, silver stocks are arguably even cheaper relative to silver. To me, that indicates an incredible buying opportunity is forming for silver right now.

This post was published at Wall Street Examiner by Peter Krauth ‘ November 7, 2017.