gold mining

While the price of silver typically tracks with the price of gold, the two do not correlate in lockstep. Thus, silver investors use the gold-to-silver ratio to assess silver’s position in the precious metals cycle. This ratio tracks how many ounces of silver is worth one ounce of gold. A declining ratio indicates that the price of silver is getting more expensive relative to gold, while an expanding ratio indicates that silver is getting cheaper. The narrowing ratio suggests that a bull market is in play while an expanding one suggests bear market territory.