Reply #63: Silver a bubble? Experts say it lacks essentials for spike [View All]

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http://www.moneycontrol.com/news/commodities/silverbubble-experts-say-it-lacks-essentials-for-spike_541077.html

ilver has tumbled down post a huge sharp increase in the margins. With the ongoing fall, in an exclusive interview with CNBC-TV18, experts Rajini Panicker of MF Global Commodities India and Tarang Bhanushali of IIFL analyse on whether the silver story was only a bubble.

Panicker says that silver lacks the basic fundamentals to sustain a huge hike. She says silver will hold support at "around USD 31 a tri ounce to USD 32 tri ounce, which is about Rs 46,000 in the Indian market." However, she says it may see a rebound if broader fundamentals, like interest rates, soverign debt crises and middle-east tension bring in money into precious metals.

Comeback cues: Expert sees silver hikes return by year-end

Bhanushali stays a net buyer at current levels with a two day perspective. However, he says, "investors with a medium-term view should expect a bounce to around USD 36 levels and then s/he can go short keeping a target of USD 31 per ounce."