ProShares Ultra Silver (AGQ)

[Bard471]

Silver needs to separate from gold to gain. Gold has little industrial use and its value is largely symbolic as an alternative to devalued currency. Silver like gold is considered a precious metal and is also used as such for jewelry and coins but has far greater use in industry. Silver is a key component of solar panels and silver dioxide is now used to coat windows to prevent heat loss. Most silver mined is consumed by industrial use. Gold supplies will continue to grow while silver, with alternative energy demand growing and an economic recovery underway, is a depleting and more useful precious resource.
In watching trading patterns and metal prices, silver usually follows gold, but there are more and more signs of a separation which will allow the price of silver to take off while the price of gold continues to stagnate. Price manipulation also keeps silver down but enough people are clever enough to accumulate record amounts of physical silver which will make it more difficult to keep the price down.
Most economic pundits product continued declines in gold prices but say less about silver prices which many believe has bottomed. 2014 should be a great year for silver and for AGQ.