This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

A Close Above $29 For Silver

A Close Above $29 for Silver

Silver headed into the weekend with gains and emerged to begin this week in a similar fashion. By Tuesday, silver's closing New York spot price was $29.43. That was the first time the metal had closed above $29 since February 19; since then, it has not happened again. On Wednesday, silver gave up all the previous day's gains, falling to $28.98. As of Thursday, the metal had declined 9.15 percent in 30 days. Some market participants believe that silver is approaching oversold territory, if it is not there already.

There has been significant concern within the silver market about the longevity of quantitative easing. Dovish statements this week from Fed Chairman Ben Bernanke seemed to assure market participants that the flow of easy money will not be cut off any time soon. Silver prices rose in response, but not for long.

As has been the case lately, when silver makes gains, it quickly gives them back. The metal simply cannot seem to find a positive role in this environment, which features investors who are flocking to risk.

With the threat of sequestration in the US approaching, there has been chatter this week that suggests some are concerned that the spending cuts will weigh on silver prices. Apart from that, there appears to be limited focus on the metal's supply and demand fundamentals these days.

For example, on Monday, Hecla Mining (NYSE:HL) announced that its 2012 results indicate that it has achieved a seventh consecutive year of reserve and resource growth. Its silver reserves climbed 2 percent, to 150 million ounces, the highest level in the company's history. Mineralized material increased 7 percent, to 22.4 million tons averaging 5.7 ounces of silver per ton. Hecla is expecting 2013 silver production to increase over 25 percent, to as much as 9 million ounces.

First Majestic Silver (TSX:FR,NYSE:AG) likewise announced that 2012 marked its ninth consecutive year of silver production increases. The company produced 8.26 million ounces of silver. Pushing for a 10th year of growth, the company expects production of 11.1 to 11.7 million pure silver ounces in 2013.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,985.61 +78.99 0.47%
S&P 500 1,972.83 +9.12 0.46%
NASDAQ 4,419.0340 +27.5710 0.63%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs