With a new wave of gold purchases in the stock market, silver is once again making its case to be considered for investment.
This comes after the gold ETF SilverDollar surged over 2,000% on Wednesday and more than $1,000 higher than its price a week ago.
SilverDollar was up almost 5,000 points to $10,859 at the close.
The ETF’s move into the stock index market was spurred by gold purchases by the US government, which increased by $1.8 billion, the government said on Wednesday.
“The Silver Dollar has made a big move,” Jim Schiller, SilverDollars CEO, said in a statement.
“Silver has been the gold’s gold, the US Government is buying gold, and the stock is rising.”
SilverDollard’s move came as the US dollar rose against other major currencies, as the price of gold was rising faster than the price for the metal.
Silver prices are set to remain volatile for some time as the Fed continues to tap its extraordinary stimulus program and other central banks continue to cut interest rates.
The dollar was trading around 69.75 cents at $1:26.10 on Wednesday, up 0.4% from the previous day’s close.
Gold fell by nearly 8% to $1 a pound, or $2.65 an ounce, on Wednesday on concerns over global economic and political instability.
The rally comes after US President Donald Trump’s speech in which he laid out his economic policies, which he called the “best plan” in decades.
Trump has been criticized for taking credit for the rally in the price and has been lambasted for his lack of leadership and his decision to cancel the planned Trans-Pacific Partnership trade pact with 11 Pacific Rim nations.
On Wednesday, Trump also announced a tax cut plan that he has not yet fully outlined.
Trump told the Economic Club of Washington that he wants to cut taxes for all Americans and that he is also looking at eliminating the estate tax and lowering corporate taxes.
Gold is expected to rally as the Trump administration seeks to increase its economic stimulus, according to the investment banking firm Lazard.
Gold and silver are both considered safe investments.
They both have historically enjoyed robust returns over the past three decades, which have kept them relatively stable in the market.