VIDEO — Peter Krauth: Silver's 2022 Price Path, "Wild Card" Demand Factor to Watch

Peter Krauth: Silver's 2022 Price Path, "Wild Card" Demand Factor to Watchyoutu.be

Peter Krauth, editor of Silver Stock Investor, has a long-term silver price target of US$300 per ounce. But what does he see coming for the white metal in 2022?

Speaking at the Prospectors & Developers Association of Canada (PDAC) convention, Krauth said he thinks a realistic move for silver this year would be "to at least US$25, or a little bit north of US$25."

In his opinion, industrial demand will create a key price floor, while investment demand will be less predictable.

"I think that (investment demand is) going to be kind of the wild card that could really push silver much higher," Krauth explained. "People are going to get excited about gold, and they're going to look for an alternative."

When asked if there's anything that could derail the silver story, Krauth was candid: "There's one thing — the (US Federal Reserve) could start raising rates to 15 or 20 percent. And I think the odds of that are less than zero."

Although Krauth believes the best analogue for the current situation is the 1970s, he emphasized that inflation can't be solved the same way it was dealt with back then. He explained that the debt-to-GDP ratio was 35 percent during that decade, whereas now it is 130 percent. That means debt today is nearly four times what it was then.

"The Fed knows that it needs to raise rates in order to fight inflation, but it also knows that realistically it can't," said Krauth, who is also the author of the book "The Great Silver Bull."

As a breaking point approaches, he believes non-traditional portfolio elements like silver are key. "I really think the solution is to start looking at alternative assets," he said.

Watch the interview above for more from Krauth on silver. You can also click here for our recap of PDAC, and here for our full PDAC playlist on YouTube.

Don't forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.