Question about Silver

[joekooltrips]

Hello All,

I have silver bullion and mining stocks, been invested for a few years now. Seen great gains. With this said...if the RV occurs and the dollar stables will we see a drop in silver for a long time or a rise. I'm assuming it would rise because if It RV's I plan on buying a lot of silver and I don't believe i'm the only one. I know it's all speculation but any thoughts, i'm interested in your opinions.

Thanks,

Brandy

GO RV

Silver is always a safe play especially right now while there's a huge supply but small demand with huge gains. Gains are greater than that of gold and more affordable.

[Buckeye Pilot]

MSgt, to put it bluntly, you're an idiot! Nothing goes straight up. I just told you silver is a roller coaster. The pull-back that we saw the last couple of weeks is perfectly normal. Every stock and every commodity experiences the same thing, but silver is more volatile than most commodities. Your comments just show your ignorance, and I for one don't appreciate the false accusations. I couldn't care less if you or anyone else on here ever buys another piece or ounce of silver. The person who started this thread asked a question, and I offered my opinion. All you offered was your stupidity. You're probably one who's gonna put your money in a bank, in US dollars, and collect 1% "interest" for the rest of your life, while your cash depreciates at 8% per year. Good luck!

Bingo.!!!!

[Bumper64]

Enough with the name calling!!! Let's move on Please!!!

[bopll]

As a silver investor I just happened across this thread. I know there were questions asked in May and it is now Sept. but I thought I would reply to some peoples Questions even if I am a little dated. I have been buying from a Company called Colorado gold and they consistently have the lowest prices and there service has been excellent. They have worked with me to sell silver to my IRA and personal purchases. I have been extremely happy with there service and would recommend that any one considering purchasing silver to at least check them out. They can be reached at Coloradogold.com. Sorry for this late reply but if this helps someone that's all I can hope for.

[DobieD]

Hi Brandy,

Regarding Silver Investment, don't mess with silver stocks or ETF's, only the real thing. Noticed you live in Texas, don't know what part but if your near the Dallas area you can purchase from www.providentmetals.com. They will deliver the real thing to your door. Other reputable dealers are www.investmentrarities.com and www.jhmint.com. There are more but these are folks I have dealt with and have complete confidence in. Best bet, hold the real silver in your possession, don't discuss what you have even with your closest friend. Would be best to have a good quality fireproof gun safe and don't lock all your guns up with your silver. Best to keep a couple weapons handy, especially now with so many desperate folks on the prowl.

Hope this will help..........

Have A Blessed Day

[tyron]

Let me guess ... you have a site that you want to send me to to buy. right?

MSgt I don't think you are an idiot, but it is possible that you represent the 95% of the population who have been deliberately misinformed by mainstream media and our education system. Here are the fundamentals whether you like it or not. Silver, and gold to a lesser degree are manipulated items. Every time silver goes up the manipulators through HSBC or JP Morgan short it to such an extent that it crashes back down. But what you need to know is that despite all their attempts, silver is still on its way up. $42.00 last time I looked. Nobody and nobody can thwart the will of the market. If I were you, I would research this topic more deeply. Nobody here is pumping, just trying to point you in the right direction. You don't want to be left holding a whole bunch of worthless fiat currency, do you? Good lucK M.

[PA10]

Jocko,

There plenty of places to buy depending on your strategy.

If you plan to buy small, incremental silver purchases, check out Craig's List and local Pawn Shops. Keep in mind Pawn Shops take in a fair amounts of Silver Dollars from motivated sellers desperate for cash. A Pawn Shop typically pays around $25.00 or so each 'junk' Silver Dollars which they in turn will re-sell for around $40.00 or more. A US silver dollar (for example) is 0.77344 Troy Ounce of silver which at the latest spot price would scrap for $31.81. Needless to say, I would buy junk silver dollars all day long for $25.00 if I could get them!

If you plan to buy physical silver (and you should) - I agree with the recommendation to buy US Minted silver coins exclusively.

US coins have the added dimension of being legal US Currency with a nominal face value that never changes.

If you plan to buy a substantial amount of silver, (such as a 'Monster Box' or two of silver Eagles) be sensitive to dynamics influencing price. I would not hesitate to recommend a seller like 'Provident Metals' who sells at 'spot' plus a fixed 'premium'. Seller premiums vary, but rest assured, there will be premiums. Recently the price of silver has ran up to $50.00 per troy ounce due to China (and other Asian countries) buying huge amounts of silver and gold to offset depreciating reserves of US Dollars and other fiat currencies. Run-ups occur when buyers take 'physical possession' of huge amounts of the metal (most institutional investors trade in paper certificates of ownership). In other words: if every silver investor in the world demanded physical possession, there simply would not be enough silver to go around which would immediately drive up prices through the roof (supply VS demand). If the price were sustained at $100.00 or more (as anticipated in the very near future), we would eventually see more silver mined to fill demand.

As is the case with the Dinar - don't be influenced by 'Pumpers'!

Regardless of the price per Troy ounce, I think the best strategy is to buy incrementally your own strategic investment vehicle over time in order to minimize spikes in spot value. As long as your thinking long term, you will never regret buying an ounce of silver however, you have already learned to regret not buying an ounce of silver!

Develop your own strategy and deploy a systematic buying plan. Good places to buy are abundant

Good Luck!

[moose 57]

not everyone on here is a pumper msgt. lol just relax.

FNA

[64jaguar]

Thank you very much!

You may want buy your Silver locally Jocko129 that way you can buy under the U.S. Gov. radar. I don't know where your located but you could also buy from Kitco. Just google them. They are Canadian and don't report to the Feds. From what I've read on the subject the United States Corp. is not much different than China when it comes to Precious metals. China recently has let its people own gold and Silver but ALL of it really belongs to the Government. The United States is set up the Same way believe it or not and in a pinch they'll come looking for it. Just sayin.

[Sarah Grunewald]

I don't think there is a relationship between US Dollar and silver as far as value is concerned. It shouldn't cause anything to the value of silver when it goes down. US Dollar is not the only currency and is not the only basis for silver's value. Perhaps, if your silver investment that you're saying is in US, then that is a different story. Finally, US is not the only source of silver.

Sarah Grunewald

New Mexico Gold Buyers

[The Machine]

I don't think there is a relationship between US Dollar and silver as far as value is concerned. It shouldn't cause anything to the value of silver when it goes down. US Dollar is not the only currency and is not the only basis for silver's value. Perhaps, if your silver investment that you're saying is in US, then that is a different story. Finally, US is not the only source of silver.

Sarah Grunewald

New Mexico Gold Buyers

Well you are partly correct ..... the USD is not the only currency out there but it is the International reserve currency !!

so if the USD devalues, all currency's will devalue .... some only slightly and some drastically It all depends on the amount of USD they hold in their reserves. This is why countries hold huge reserves of Gold and Silver to back up their currencies...... Why do you think China have been adding to their reserves of gold lately ..... as they own a couple of trillion dollars in US debt and huge USD foregin currency reserves ( I cant remember the exact number) they stand to loose out on a failing dollar.

Another interesting thing I cane across a while back is the published results of the world gold holdings ....... Apparently the US have 8,133 tonnes of gold ....... but they havent been audited since the 1950's lol, I have a funny feeling its alot less than that ..... more like a room full of gold plated tungsten bars in fort knox.

And China only report ho having 1,054 tonnes ..... I think they have a hell of alot more than that and only time will tell on that one.

Another interesting fact is that the amount of gold held by central banks around the world equates to approx 30,500 tonnes

Now if this equals the 18% from the figures below that would mean that 100% of the gold in the world is equal to 169,444 tonnes today

Now heres a bit of history for you -- In 1696 the Bank of England brought gold to prominence and established the worlds first gold standard and during 1717 the gold price was set in todays money at £4.24 per troy ounce (todays prices for gold in GBP is £1,210 per Oz) its very rare with only 165,000 metric tons in existence if placed in a cube it would measure only 20 metres square

--- the amount of gold has hardly ever changed in the past 300 years !!

World gold holdings (2008) (Source: World Gold Council)

Holding Percentage

Jewelry 52%

Central banks 18%

Investment (bars, coins) 16%

Industrial 12%

Unaccounted 2%

Anyway to answer your question the USD can affect the value of gold and silver by depreciating the foregin reserves of all other countries and their fiat currencies and increasing the cost of gold and silver relative to these currencies.

[Luigi1]

If anything, the RV will raise the price of silver. As the world economies improves after the RV jump starts many economies, the demand will increase for all metals including silver.

Mining companies pay good dividends especially Southern Copper(SCCO). It is a Canada Company worldwide & in to all metals including gold & silver. In the long run, silver mines may be better than the bullion.

[WallyWeaver]

Just two weeks ago both Gold and Silver dropped in value! there went your theory that they would continue to rise in value which leads me to questrion your opinion about what you just stated about the USD. Let me guess... You have a site link that you reccomend that I buy Gold and Silver from, right?

True, 2 weeks ago gold dropped a little from its high of $1900/oz. But it is still hovering at $1800/oz. right now. Do you realize that in mid-June gold was at $1500/oz.? Or what about in 1955... do you realize gold was $35/oz. in 1955? Gold has in the past and will, over time, continue to rise because of inflation.

Do you understand the concept of a fiat currency? A fiat currency is a currency that is not backed by anything tangible so everytime more currency is printed the already existing currency becomes worth-less.

This is why you could buy a gallon of gas in the seventies for around 70 cents, there wasn't as much money in circulation. Today things cost more dollars because there are more dollars in circulation. This is called inflation. If you can understand that since 2008 the US money supply has tripled you will see why so many people are encouraging gold and silver ownership. Over the next few years, as the trillions of freshly printed dollars move into circulation, hyperinflation will become a reality. This will cause the price of silver and gold to go through the roof.

So, in conclusion, has silver and gold seen much of a rise the last few weeks? No. But you are looking at two small of a window and need to factor inflation into your thinking. In the long run, in my opinion, gold will easily hit $5,000/oz. and silver will easily hit $500/oz.

I will even give you a window... I would bet that you will see gold and silver hit those prices somewhere between 2015 and 2020.

[The Machine]

in my opinion, gold will easily hit $5,000/oz. and silver will easily hit $500/oz.

I will even give you a window... I would bet that you will see gold and silver hit those prices somewhere between 2015 and 2020.

I'm with you on that one ..... imagine silver at $500 an oz mmmmm

[WallyWeaver]

I'm with you on that one ..... imagine silver at $500 an oz mmmmm

Here is my basic strategy: Acquire as much silver as possible right now. Once I feel it has hit its peak sell it and buy property. Hopefully I will be able to acquire enough to become somewhat of a land baron.

I also invest in Chinese Yuan and am looking at the Singapore Dollar and the Real of Brazil. A friend told me that you can buy 2 year bonds from Brazil right now at a 11 to 12% rate!

The main thing is I am betting on the fact that the USD is going fail and fail hard.

[PA10]

Good take WallyWeaver! If anything, I think your on the conservative side relative to timing. Any opinion on silver ETFs?

[tyron]

Any opinion on silver ETFs?

Don't touch them!

[WallyWeaver]

Good take WallyWeaver! If anything, I think your on the conservative side relative to timing. Any opinion on silver ETFs?

I am not an investment advisor (even though I did give some advice, I suppose) but anything to do with the stock market makes me nervous. I think the stock market is artificially high right now and I am expecting another big drop. I saw many of my friends take huge hits in their 401k's over the last three to four years....

I prefer precious metals and currency trading.

[randalln]

If you are looking at silver to perform like gold (Don't) the manufacturing Industry will not let that happen ....................

Silver is used in 99% of all electronics

If they were to make a run on silver it would cause the electronic markets to drop (prices to go up) and they wont let that happen .......................

Until Gov. releases a new bonding material (and they have one )silver will be the standard .........

pick Silver to hold wealth not to make it

The best thing to make wealth is dirt

buy land its going cheap (houses)

it wont stay that way forever

Edited September 21, 2011 by randalln

[WallyWeaver]

If you are looking at silver to perform like gold (Don't) the manufacturing Industry will not let that happen ....................

Silver is used in 99% of all electronics

If they were to make a run on silver it would cause the electronic markets to drop (prices to go up) and they wont let that happen .......................

Until Gov. releases a new bonding material (and they have one )silver will be the standard .........

pick Silver to hold wealth not to make it

I don't mean to sound coy here but I don't think the manufacturing industry has a lot of say in it.

To me that's like saying the price of gas won't go over a certain amount because car manufacturers won't allow it.

I do agree that silver is artificially low but I would say if there is a run on silver and supply is restricted the price of silver will go up, it has to. Not only that but factor in inflation or hyperinflation. I think we all agree that the price of precious metals have not gained in true value. Silver, and gold for that matter, are what they are because the dollar has inflated and is inflating... right before our very eyes.

The question of how high silver will go in USD's will be answered by how inflated the USD will get over the next few years. My guess is pretty high. But that is just my guess. Couple that with a run on silver by investors and things could get interesting.

[uncirculd]

I am a firm believer to buy medals and hold as hedges. Physically! Not stocks. I have done this for years. It's really a hobby. I would buy junk silver because it was so cheap. Then when times are tough you can sell it for cash. Junk silver. Not the collectibles. You can buy silver from dealers. Look for numismatic in your local phone book. Shop around. Your pawn shops, and some jewelers. You can buy and sell. Silver is also better than Gold in my opinion because of the denominations. If you wanted to buy bread and milk and it was to cost $10, your $300 Gold Piece could not be broken. Silver you can pay with dimes, quarters etc etc. I believe that buying medals would have been best when it was not at an inflation level. But with the RV, heck ya, buy both.

[tyron]

If you are looking at silver to perform like gold (Don't) the manufacturing Industry will not let that happen ....................

Silver is used in 99% of all electronics

If they were to make a run on silver it would cause the electronic markets to drop (prices to go up) and they wont let that happen .......................

Until Gov. releases a new bonding material (and they have one )silver will be the standard .........

pick Silver to hold wealth not to make it

The best thing to make wealth is dirt

buy land its going cheap (houses)

it wont stay that way forever

The housing market is still in a bubble. You soon will see that prices will go lower still as more people lose their jobs.. etc. You are right about dirt, though. Take a leaf from Soros. Buy farmland, especially if it has its own clean water source. Food prices are set to rocket. Silver is not just a store of wealth. It is massively undervalued. So investing in it will be akin to buying a house in the seventies and selling it in the eighties. It could turn out to be the investment of the century!

[WallyWeaver]

The housing market is still in a bubble. You soon will see that prices will go lower still as more people lose their jobs.. etc. You are right about dirt, though. Take a leaf from Soros. Buy farmland, especially if it has its own clean water source. Food prices are set to rocket. Silver is not just a store of wealth. It is massively undervalued. So investing in it will be akin to buying a house in the seventies and selling it in the eighties. It could turn out to be the investment of the century!

In agreement. +1