September 10, 2009 – Silver Panda coins recorded a sizable jump in value during trading Thursday as the silver spot price posted an increase on the day. Silver Panda coins are minted in China, along with gold Pandas, and both items are highly sought after by bullion collectors. The Chinese Panda coin is regarded as one of the most beautiful bullion coins, especially outside the United States, because investors abroad can hold the Chinese coinage without fear of it being taken away by the US government.
The rise in the silver spot price and subsequent boost in the value of the Chinese Panda coin is largely due to the beige book report from the Fed on Wednesday that said the automobile industry performed stonger than expected in the last quarter. Many believe this is largely due to the Cash-For-Clunkers automobile recycling program, which gave a total of $1 billion to the auto industry. Silver has been considered by many to be somewhat speculative because of its automotive and industrial use. Analysts projected earlier in the week that silver would experience a rise in value if the Fed’s report had good things to say about the health of the automotive and manufacturing world. Silver’s rise in price can also be caused by increasing worry amongst American families that the US Dollar is going to become insolvent. Insolvency concerns are usually addressed by purchasing pre-1933 silver coins like the Morgan Dollar and the Peace Dollar, which may provide protection and independence for families who are looking everywhere for a back-up plan.
Silver weighed in at $16.68 per ounce on Thursday afternoon, which means a 2.4% increase over Wednesday’s levels. Silver bullion products posted gains at similar levels, and investors with certified Peace Dollars and Morgan Dollars enjoyed a 5.3% increase in value in those coins. Top researchers at Certified Gold Exchange, which specializes in bullion and certified precious metals items, expect a slight pullback in the silver market in the coming weeks, with long-term projections placing silver at over $20 per ounce.
Senior Staff Writer – GoldSilver.org