Eric Sprott has information: Silver is going up

Be ready to be surprised when it comes to the precious metals market, said Eric Sprott, billionaire precious metals investor and founder of Sprott Inc.

The world is getting used to gold and silver at their new price levels after a summer rally and more surprise could soon be in store for the precious metals sector, said the legendary investor during Sprott Money’s Weekly Wrap-Up on Friday. 

“We are in pretty good shape for metals doing quite surprising,” Sprott said.

At the time of writing, December Comex gold was trading at $1,487.40, down 0.45% on the day and December Comex silver was at $17.57 down 0.02% on the day.

One of the things working in favor of the precious metals sector is a looming shortage of silver.

“There is going to be a shortage of silver. We get information from dealers looking for supply and paying premiums, which is almost unheard of. And when I look at the amount silver going into ETFs and going into India, there is no way that there is not going to be a shortage,” Sprott highlighted.

On top of that, there is “a huge problem” happening under the surface — the ongoing bank liquidity crisis and how the Federal Reserve is responding to it.

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