BiyaPay analyst: Silver is more expensive than oil, a phenomenon seen again after 45 years; inflation expectations are rising, and recession fears are...
TL;DR
Silver prices have exceeded crude oil for the first time in 45 years, driven by inflation-hedging demand and cautious economic outlook. This 'strong silver, weak oil' trend reflects market uncertainty but doesn't necessarily signal a recession. BiyaPay recommends flexible asset allocation through multi-asset trading to enhance efficiency in volatile markets.
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On December 25th, silver prices continued to rise since February, even surpassing crude oil prices at one point, marking the recurrence of the rare phenomenon of "silver being more expensive than oil" after approximately 45 years. The market generally believes this trend reflects a rapid flow of funds towards assets with inflation-hedging and value-preserving attributes, while expectations for global economic growth and energy demand are becoming more cautious. Historical experience shows that "strong silver and weak oil" often occur during periods of increased macroeconomic uncertainty and shifts in risk appetite, but do not necessarily indicate an economic recession.
BiyaPay analysts point out that in the current environment, the core of asset allocation lies in improving flexibility and capital efficiency. Directly participating in multi-asset trading, including US stocks, Hong Kong stocks, and futures, through USDT, combined with the zero-fee Maker mechanism for cryptocurrency spot and contract trading, helps reduce transaction friction and enhance cross-market allocation capabilities. BiyaPay's one-stop multi-asset trading service provides investors with a more efficient tool for coping with macroeconomic volatility.