Silver $150, “This Will Happen,” Says Swiss Money Manager

beaconequity.com / by Dominique de Kevelioc de Bailleulon / August 24, 2012

If there was ever a sleeper asset poised to moonshot, it is silver. And $150 is the target price for the white metal on this next major move higher, says Swiss money manager Egon von Greyerz

“We could see those levels ($4,500 – $5,000 on gold) within a year and possibly much faster,” von Greyerz tells King World News, Thursday. “This autumn we are going to have a very strong move.

“If we look at silver, silver is going to move a lot faster than gold. The same technical target for silver is $150. That would move the gold/silver ratio down to 30/1.”

With PIMCO’s bond king Bill Gross going on the record today on CNBC, saying an open-ended quantitative easing program by the Fed is all but a “done deal”, silver investors can expect, not only a massive and unprecedented short squeeze in the silver market, but momentum traders and value-based accumulators hopping on board the silver bullet, as well—a veritable trifecta of rocket fuel presently under-appreciated by the casual investor, according to von Greyerz.

A move in the silver price, from $30 to $150, is “hard for investors to comprehend, but this will happen because we have had an energy building up in these markets for almost a year,” von Greyerz continues.

von Greyerz outlook for the silver price is, indeed, the most optimistic of King World news legion of forecasters, but the chart shows that his assessment has much technical evidence to support his thesis, given the fundamental backdrop of bizarre monetary and fiscal policies endemic to both major reserve currencies, the dollar and euro, which, together, comprise 89 percent of all global currency reserves.

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