The price of Gold may have recently reached a new record high, but the price of Silver has actually performed even more impressively, Commerzbank's Head of FX and Commodity Research Thu Lan Nguyen notes.

Silver outperforms Gold

"Since the beginning of the year, it has risen by around 56%, outperforming even Gold, which has gained 44%. Last month alone, Gold's little brother rose by 15%. We have pointed this out many times: there are no (new) fundamental reasons for the sharp rise in prices. The physical Silver market was already undersupplied long before its recent rally."

"Rather, it stands to reason that the record high price of Gold is now deterring many and that alternatives are therefore being sought. However, caution is now also advised with regard to Silver: here, too, the record high from 2011 of just under $49 per troy ounce is approaching."