PRESS ROOM
Gold to silver ratio elevated highlighting silver’s underperformance
Friday 28th October '22
Gold has faced headwinds from a strong dollar and rising rate since March. Nevertheless, silver has underperformed gold over the period given relatively little support coming from industrial demand. Silver is often characterised as a leveraged play on gold as it can exhibit larger moves in either direction. In the twelve months after the March 2020 Covid crash in markets, silver outpaced gold meaningfully. At this juncture, the gold to silver ratio is around 85, meaningfully above its historic average which tends to be in the range of 50-60.