The UK’s gold and silver markets have been dominated by a single silver mining company since the 1980s, but this year silver prices will be a little different.
Here’s what you need to know.
Gold prices will soar to $2,200 per ounce The price of gold is currently hovering around $1,500 per ounce, but that is set to rise dramatically as investors brace themselves for a dramatic rise in demand.
Silver prices will also rise sharply as demand for gold increases.
Gold is now up to around $700 per ounce.
The market cap of Silver Hill is around $8.6bn, according to CoinDesk.
1:36 The price surge could make gold more valuable in future.
The silver market is dominated by Silver Hill, which has been trading at $1 per ounce for years.
The firm’s CEO, Mark Miller, said this year’s surge in demand will likely have an impact on the price of the precious metal in the future.
“There is going to be a tremendous rise in silver demand, especially around the world, and I think the silver market has a very positive outlook,” he said.
“Silver is going up.”
Silver Hill’s market cap is around €1.6tn.
The price per ounce has also jumped by a whopping 2.5% in the past year.
In terms of price per coin, Silver Hill has a market cap that is around £5.3bn.
The company’s stock price rose from around $5.7 on the opening day of the year to around £4.5 by the end of this month.
Silver Hill also has an annual profit margin of around 7%, making it one of the UK’s most profitable silver mining companies.
2:00 Gold prices are up for sale in the US, too.
Gold has recently surged to $1.24 per ounce on the New York Mercantile Exchange, up from $1 in February.
In the US market, gold is still the third-most popular precious metal, behind silver and platinum.
Silver is currently trading at around $16 per ounce in the futures market.
1,600-pound gold bullion bars sold for around $10,000 in the United States on Wednesday.
1/36 In a bid to stave off the price surge, a major gold retailer has stopped selling gold bullions, amid rising fears the price could fall over the summer.
Goldsmiths stopped trading all bullion products on Wednesday, as investors took to social media to warn of a potential sell-off in the precious metals.
2/36 Gold bars, coins and other precious metal products are seen in an undated photo illustration in Berlin, Germany.
The gold standard has fallen 47 per cent since 1996 and has fallen more than 60 per cent over the past two years as central banks try to stop the bleeding by pumping vast quantities of cheap money into the global economy, inflationary pressures and a glut of cheap energy.
The falling price of some precious metals has hurt the global economies, bringing down sales of some jewellery and precious stones, and has hurt growth in some countries, especially in China.
A gauge of the blue metal’s value – called the maturities index – fell to 52.532 from a high of 686.3 in March.
A basket of 30 metal objects, or bars, worth between $1 and $2 was seen in a dealer’s window in Tokyo March 20, 2018.
REUTERS/Toru Hanai/File Photo 3/36 US dollar price could rise as low as $1 around March A drop in the price in the greenback against the US dollar could force the greenbacks price to rise further, analysts said on Wednesday as they warned the US central bank may keep interest rates unchanged despite Donald Trump’s repeated warnings of a possible interest rate rise.
The greenback fell to a five-week low against the dollar on Wednesday after US data showed that hiring expanded at a solid pace in March, helping economists forecast a pickup in economic activity in the final quarter.
The data comes as US Treasury yields rose to their highest level in nearly a year as investors continue to rally in anticipation of higher interest rates.
The yield on the 10-year US Treasury note was 1.68 per cent, up slightly from 1.63 per cent on Monday.
The dollar index, which measures the greenBACK against a basket of six currencies, was little changed in early trade.
4/36 UK manufacturing PMI data showed manufacturing activity rose at a moderate pace in May, picking up from a revised downwardly revised 0.2 per cent growth in April.
Purchasing managers were concerned about slower than previously expected activity in construction, however, as companies cut back on plans for new output.
The figures also showed that manufacturing activity increased at a brisk rate in May and activity was broadly above previously reported levels.
5/36 Manufacturing payroll rose by 215,000 to a seasonally adjusted annual rate of 569,000,