"Silver on the rise"

Silver is increasing in value at an amazing rate, with the price per ounce of the precious metal closing at $47.15 on Monday. That’s just three dollars and thirty cents short of the record high of $50.35 set in January 1980.

Shockingly just one year ago on the same date, silver was being traded at $18.49 per ounce. In this recession-reduced economy, jewelry dealers have seen increased demand in sterling pieces, especially with gold rising to all time highs. The price per ounce of gold closed at $1,518 per ounce yesterday.

“It’s because the price of gold,” said Alain Planche, owner of Direct Jewelry Outlet on East Broad Street in Falls Church. “Because the price of gold is so high, people tend to buy silver now.”

According to CNN Money, silver prices have doubled in the past six months alone.

“I don’t do a lot with silver,” said Planche. “I carry it because the demand is there, people are asking for silver more right now, but if it weren’t for that high demand I probably wouldn’t carry it at all.”

Planche also said buyers have been seeking out silver charms and bracelets recently.

Consumers can expect silver prices to keep rising, and surpass the $50 benchmark in the very near future. The falling value of the dollar globally has greatly affected American imports of sterling as well. 

According to a recent press release by the Silver Institute, a Washington, D.C. based non-profit that educates the public on the value of silver, the market for silver will remain healthy and demand should continue to increase over the next five years.

“Most recently precious metals including silver have risen due to growing concern about the U.S dollar, and global economic concerns are still lingering as we are involved in three wars,” said Michael Dirienzo, executive director of the Silver Institute. “There are those who are saying inflation is rearing its ugly head again, which is debatable. And people are fleeing to precious metals to diversify their portfolios.”

Since the beginning of 2011, the price of silver has risen by 45 percent, while the price of gold rose just 8 percent, according to Dirienzo.

“It’s a global phenomenon,” said Dirienzo.