Silver has been the best performing of the major commodities so far in 2012, rising by around 22% in dollar terms and even outpacing the 12% increase for gold. However, while we expect renewed concerns about the euro-zone to drive further gains in the price of silver, from $34 per ounce at present to around $42 in 2013, its greater volatility and dependence on industrial demand should see this metal underperform gold again.