Explosive Surge of Silver Price

Based on data from LBMA, silver price has increased 44.7 percent in the first half of 2016. The explosive surge of silver reflected many investors’ interest in silver in light of the current global market uncertainties. Interestingly, silver has also outperformed all other precious metals as wealth builders accumulated more silver in the first half of 2016.

Following the record demand seen in 2015, investors’ demand for silver bars has weakened some during this period. This is because in 2015, silver was in a bear market and investors seized the opportunity to accumulate silver bars on the cheap, with the view of potential price appreciation. Since then, the price of silver has galloped and this has somewhat dampened the demand for silver bars.


On the other hand, silver coin sales increased by 29% globally, according to GFMS Thomson Reuters Quarterly Coin Sales Survey. Coin sales enjoy double digits increase across all major regions, such as North America, Asia and Europe. Unlike gold bullion coin sales, which fluctuate according to its prices, silver coin sales have remained resilient since 2010.

2015 has been a disastrous year for the commodity as prices fell across almost all the commodity assets. Silver was no exception as it fell below the support level of US$15 per ounce. This has led to many investors rushing to buy into silver as many hope to bargain hunt following silver price collapse. The demand was so strong that silver coin fabrication increased by 24% in 2015 and almost all key mints had to put their silver bullion sales on allocation. The delivery lead times for bullion dealers were also reportedly stretched to 3 to 4 weeks.

The series of events that had rocked the global stock markets in the first half of 2016 ignited the explosive surge of silver price. Nonetheless, the rally had caught many experts and analysts by surprise as most of them expected precious metals to have a moderate performance in 2016. The outlook for silver was not so shiny given that the precious metal was in a bear market from 2011 to 2015. Whilst it is still premature to claim that silver and gold have entered a bull market, the outlook for precious metals remains sound. After all, there are so much uncertainties in the market now, especially after UK’s decision to leave European Union.

In Singapore, BullionStar’s Bullion Savings Programs allow you to trade gold and silver online at any point of time. At very low price premium and spread, BullionStar allows you to convert grams in the Bullion Savings Programs (BSPs) to 100g PAMP Cast Bars and 15kg Heraeus Bars. Unlike other bullion savings programs (BSPs) are fully backed by physical precious metals.

Setting up an online account is pretty simple and you can choose to pay in different currencies, including Singapore dollar and Bitcoins. In addition, the price is very transparency as BullionStar’s website displays the price premium and spread for each bullion. This allows buyers to make price comparisons online before making the purchase.

BullionStar also offers customers their own minted gold and silver bars with zero spread. They have commissioned world-renowned LBMA-approved Swiss gold refiner Argor-Heraeus to produce these stylish and unique minted 100 gram 99.99 % purity gold bars.

Below are some gold bullion offered by BullionStar that are worth buying:

  1. PAMP Gold Bar – 1kg
  2. American Gold Buffalo Various Years
  3. BullionStar Mint Gold (No Spread)

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SG Wealth Builder

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