KINGFISHER INVESTMENT RESEARCH


KINGFISHER INVESTMENT RESEARCH



Friday, January 31, 2025

‘It’s Like ChatGPT And Wikipedia Had A Baby’: Perplexity AI’s CEO On Building Personalized Search


 
 Perplexity AI’s CEO On Building Personalized Search

“It’s like ChatGPT and Wikipedia have a baby”, said Aravind Srinivas, CEO and cofounder of Perplexity, said of his search engine at Imagination In Action’s ‘Forging the Future of Business with AI’ Summit in April 2024. On this panel, Srinivas talks about building a better search, the future of AI for enterprises, and why getting a PHD and starting a business are similar. 

https://youtu.be/w8M76fuyn8o



What chracterizes an investment in gold versus silver? by Gemini

 



What chracterizes an investment in gold versus silver?
  

Investing in gold versus silver is a nuanced decision, as each metal has its own unique characteristics, drivers, and risks. Here's a breakdown of how they differ:

Gold:

Characteristics:

Store of Value: Gold is primarily considered a safe-haven asset and a store of value. It's often sought after during times of economic uncertainty, inflation, and geopolitical instability. It tends to hold its value well over long periods.


Monetary Role: Historically, gold has played a role in monetary systems, which continues to influence its perception as a reliable asset. Central banks hold gold reserves as part of their international reserves.


Industrial Use: Gold has some industrial uses, mainly in electronics and dentistry, but these account for a smaller portion of its demand compared to investment and jewelry.


Lower Volatility: Generally, gold is less volatile than silver, meaning its price swings tend to be less drastic. This can make it more appealing to risk-averse investors.


High Price: Gold is significantly more expensive per ounce than silver, meaning you'll need a larger initial investment for the same amount of weight.


Limited Supply: Gold has a relatively limited supply, which can contribute to its price stability.


Liquidity: Gold is a highly liquid asset, meaning it's easy to buy and sell in various forms (bullion, coins, ETFs).


Hedging Power: Gold is often used as a hedge against inflation and currency devaluation.

Investment Drivers:

Economic Uncertainty: Gold tends to rally when investors are worried about the economy, stock markets, or geopolitical risks.


Inflation: It's often seen as a hedge against inflation because it historically maintains its purchasing power during periods of rising prices.


Interest Rates: Generally, low or negative real interest rates (interest rates minus inflation) tend to be positive for gold.


Dollar Strength: Gold and the US dollar often have an inverse relationship. When the dollar weakens, gold tends to rise.


Central Bank Activity: Central bank buying and selling of gold can impact its price.

Silver:

Characteristics:

Industrial Metal: Silver has a much larger industrial demand compared to gold, used in electronics, solar panels, medical equipment, and other applications. This makes its price more sensitive to industrial cycles.


Volatility: Silver is significantly more volatile than gold. Its price can fluctuate sharply, offering both potential for larger gains and losses.


Smaller Price: Silver is much less expensive than gold, making it more accessible to investors with smaller budgets.


Dual Nature: Silver is often described as a "dual nature" metal, having characteristics of both a precious metal and an industrial commodity.


Larger Supply: Silver has a larger global supply than gold.


Less Liquid than Gold: While still relatively liquid, silver markets aren't as deep as gold markets.

Investment Drivers:

Industrial Demand: Silver's price is heavily influenced by the strength of the global economy and industrial production. Increased industrial demand can lead to price appreciation.


Technological Advancements: New technologies that require silver can boost demand.


Economic Growth: Silver tends to perform well during periods of economic growth and expansion.


Inflation: Like gold, silver can act as a hedge against inflation, though its performance can be less consistent.


Dollar Strength: Like gold, silver often has an inverse relationship with the US dollar.


Speculation: Due to its higher volatility, silver is more prone to speculative trading.

Here's a table summarizing the key differences:

Feature Gold Silver
Primary Role Store of Value, Safe Haven Industrial Metal, Speculative
Volatility Lower Higher
Price Higher per ounce Lower per ounce
Industrial Use Low High
Monetary Role Higher Lower
Liquidity High Good
Supply Limited Larger
Investment Driver Economic Uncertainty, Inflation Industrial Growth, Technology


Which is Right for You?

The best metal for you depends on your individual investment goals, risk tolerance, and investment horizon:

Choose Gold if:

You're a risk-averse investor looking for a safe haven asset.


You want a hedge against economic uncertainty, inflation, and currency devaluation.


You're looking for a stable, long-term store of value.


Choose Silver if:

You're willing to take on higher risk for the potential of higher returns.


You believe in the growth of industrial demand for silver.


You have a longer investment horizon and are willing to ride out volatility.


You are interested in a speculative trade.


Diversification: Many investors choose to hold both gold and silver as part of a diversified portfolio. This allows them to potentially benefit from the different characteristics and drivers of each metal.

Important Considerations:

Storage: Both gold and silver need secure storage, which may come with costs.


Tax Implications: Be aware of the tax implications of buying and selling precious metals in your jurisdiction.


Market Research: Do your own research and understand the factors that influence the prices of gold and silver before investing.


Professional Advice: Consider consulting with a financial advisor before making any investment decisions.

In conclusion, understanding the distinct characteristics of gold and silver is crucial before investing in either. Both metals can be valuable additions to a portfolio, but they should be chosen strategically based on your individual financial goals and risk tolerance. Remember that no investment is without risk.
 
https://aistudio.google.com/prompts/146OANRD8kujXMloggr9WszF2rKBEOAp8

Wednesday, January 29, 2025

Silver Price In 2025: What Investors Need To Know



 


With silver prices consolidating between $27 and $33 per ounce in recent months, Jeffrey Christian provides CPM Group's detailed forecast for silver markets in 2025. 

Jeff looks at investment demand for both EFTs and physical silver and discusses its importance and why it is the primary driver of silver prices, as well as the factors that influence it.

The video concludes with a look at the macroeconomic factors driving markets, including inflation concerns, government deficits, and geopolitical instability across the U.S., Europe, and Asia, all contributing to heightened investor interest in precious metals. With projections pointing to a volatile but upward-trending markets.


https://youtu.be/ozp4B76cYj8

Perplexity answers: What factors are driving the bullish outlook for silver in 2025





What factors are driving the bullish outlook for silver in 2025

 

Sources
Silver Forecast: Can XAG/USD Surpass $35 in 2025? - FOREX.com


forex

Silver Price Forecast: Top Trends for Silver in 2025 | INN


investingnews

Silver Price In 2025: What Investors Need To Know - YouTube


youtube
 


Answer:

The bullish outlook for silver in 2025 is driven by several key factors:

Industrial Demand Growth:Silver's critical role in green energy applications, particularly in solar panels and electric vehicles, is expected to sustain robust industrial demand. This aligns with global energy transition efforts, making silver indispensable for renewable technologies168.

Supply Deficit:A persistent supply-demand imbalance is a major driver. Analysts forecast a significant deficit as global silver production struggles to meet rising demand. Limited mining output and constrained recycling efforts exacerbate this gap, putting upward pressure on prices246.

Macroeconomic and Geopolitical Factors:Geopolitical tensions and economic uncertainties (e.g., inflation concerns, government deficits) are increasing silver's appeal as a safe-haven asset. Additionally, potential weakness in the U.S. dollar could further support silver prices by making it more affordable for international buyers
137.

China's Economic Recovery:As one of the largest consumers of silver, China's economic rebound is expected to boost industrial and precious metals demand. Improved monetary stimulus measures in China could significantly support silver prices14.

Investment Demand:Investment interest in silver is projected to rise sharply due to its undervaluation relative to gold and its historical performance during periods of economic volatility. Analysts predict increased purchases of physical silver and ETFs, which could further drive prices upward3
These factors collectively support projections of silver reaching $35–$40 per ounce in 2025, with potential for further gains depending on market conditions28.

 





Related
How might China's economic recovery specifically impact silver prices

What are the potential effects of US monetary policy on silver demand

How significant is silver's role in green energy applications for its future

What geopolitical tensions could continue to drive silver prices upward

How might supply shortages influence silver prices in 2025


ChatGPT answers: What is the concensus thinking of silver analysts on the outlook for the metal?

 Analysts hold a generally optimistic outlook for silver in the coming years, with several forecasting notable price increases:

  • InvestingHaven projects that silver will reach between $48.20 and $50.25 per ounce in 2025, with new highs anticipated between 2026 and 2027.

  • UBS has set a year-end 2025 price target of $36 to $38 per ounce, advising investors to consider long positions to capitalize on the expected recovery.

  • Coin Price Forecast predicts that silver will start 2026 at $35.22, rise to $39.02 within the first six months, and finish the year at $45.76, representing a 48% increase from current levels.

  • Scottsdale Bullion & Coin reports that major institutions like Citigroup and Saxo Bank have set 2025 silver price targets at $40 per ounce, while JP Morgan forecasts $36 per ounce.

These projections are influenced by factors such as increased industrial demand, particularly in solar panel production, potential supply constraints, and broader economic conditions. However, it's important to note that some analysts express caution due to potential risks like weak industrial demand and economic slowdowns in key markets such as China.

In summary, while the consensus among analysts leans toward a bullish outlook for silver, they also advise considering potential risks and market dynamics when making investment decisions.

Perplexity answers: What is the concensus thinking of silver analysts on the outlook for the metal?



What is the concensus thinking of silver analysts on the outlook for the metal?

Answer

The consensus among silver analysts for 2025 is generally bullish, with expectations of silver reaching US$35 per ounce due to supply shortages and increasing demand. After this peak, a slight pullback to US$30 is anticipated, followed by another potential rise that could see silver passing US$50.4Key factors influencing this outlook include:
  1. Supply-Demand Dynamics:
    Experts anticipate another strong year for silver demand in 2025, with a projected deficit of 215.3 million ounces. This is driven by continued stagnation in supply alongside record industrial demand. The gap between supply and demand is expected to persist, potentially leading to upward price pressure.3
  2. Industrial Demand:
    Silver's industrial applications, particularly in the solar industry, are expected to drive demand. The solar sector is the largest source of industrial consumption for silver, and analysts see continued growth in this area.9
  3. Economic Factors:
    U.S. monetary policy is expected to remain tight into early 2025, which could pose short-term challenges for silver. However, any potential weakness in the U.S. dollar could ease pressure on silver prices.7
  4. Geopolitical and Economic Uncertainties:
    Analysts caution that broader economic trends could affect silver. There is a risk of significant correction in the markets and a potential recession, which could temporarily impact silver stocks and prices.4
  5. Investment Potential:
    The solid fundamental backdrop is expected to attract more investors, keeping a bid on prices. Silver's performance is closely tied to global industrial production, with its price likely to benefit from an economic recovery in the coming months.9
While the overall outlook is positive, analysts advise investors to be aware of potential volatility and short-term fluctuations. Some analysts believe that silver, currently at $1,018.02 per kilogram, remains undervalued in 2025 compared to its historical prices, suggesting strong investment potential. However, investors should remain aware of short-term fluctuations while considering the long-term bullish prospects.
8


(Perplexity.ai)


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Gold vs. silver: Why silver is a better investment than gold 
https://moneywise.com/u/investing/alternative-investments/gold-vs-silver?irn_option_aditude-auto-inject=true