Each and every year the silver which is produced by mines is consumed by industries, which leaves no room for any investment sustained demand. The fact that the marginal increases in these demands is increasing each and every day, it will result the incensement of prices.
The silver which is produced is like a buy product of copper, mining gold, lead or zinc. The silver prices which are high can not substantially increase the price of silver which is mined each year. In 1980, the prices of silver went up to about $50 per ounce and as a result in 1979 less silver was mined.
So what do you think it means to the jewelry sector? The answer is simple, the cost of the silver was increased and most people stared to demand it. The tricky part is if you are a customer or jewelry shop, you have to make sure that the silver which you are selling or if you are buying any silver item it must have the highest standard of 98% of fine silver. This is also becoming a new standard in the fashion industry.
At present 90% of all silver is made to a standard 925%Sterling silver, which means it has a small amount of impurities added, However for an investment this just isn't good enough .and it gets worse, if you do buying trips for silver from lets say to Asian countries, the majority of silver in street stalls would not pass the assay test 925 that's because the manufacturer has added large amounts of copper or bronze with the silver in order to be able to sell it cheap.
There are no tricks to buying silver; firstly you must establish a good customer relationship with a reputable manufacture or wholesaler.
Secondly he should be happy to provide documentation of were the raw silver comes from with a assay test certificate.
Thirdly try and buy silver that's Monogrammed, Customers love having designer name brands such as KDL, and you will find that if a manufacturer is name stamping his silver jewelry he has a reputation to protect.
So to sum things up ,Yes invest in silver jewelry ,but only in 98%pure silver ,wear it ,use it and wait for the price increase then you truly have a valuable asset ,you can even have it melted down and re sell the silver .Its a win win over gold .Even if gold increases in price it will not match the percentage profit that silver is now starting to return.
Article Source: http://www.articleszoom.com
Tuesday, September 8, 2009
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