@losturmarbles - Interesting. In the meantime, why do you think Silver has crashed to 41 bucks?
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$35-40 is a good leveling point for silver...this is what we will call later "hindsight"...good time to buy if you are in for the long haul.Comment -
What the Hunt Bros did was an isolated situation, the bull market that started in 2000 with precious metals has been a world wide situation. Countries have been acquiring and holding gold and silver and moving away from the dollar, which for sometime has been the "world currency" so to say. The run is far from over, unless a different indicator is going to pop up and replace it. The decades long expansion of housing and credit has plummeted...commodities have been moving strong since. I am taking a hard look at my copper pennies as well, it's a cheap way to "gamble"....just hold onto them and acquire more...no big loss if it fails. I am still a buyer with gold and silver as well....although I don't mess around with numismatics. I feel (and it's just my opinion) from my research that gold is undervalued by 4 to 5 times....and silver has a whole lot of room to keep growing as well. 99% of the public's indifference and/or neglect towards precious metals is expected as less than 1% of Americans invest in it. But, how can you doubt the less than 1% when they have made profits? It doesn't make sense to do so.Comment -
The reason silver is going down right now, the margin limit was raised for the 3rd day, and george soros sold out his entire stock of silver. Give it a few more days and buy againComment -
I do hope you guys understand that if you make money in what ever, someone is losing money.
If you're losing, someone's winning. Just an exchange from one hand to the other. If everyone
is on the upswing, that means it overvalued and will drop like a rock. Set your profit target,
when it hits, get out. The markets are nothing but legalized gambling.Comment -
That's currently hindsight it was already 41 and had just dropped 7 1/2 bucks the previous day when you posted this lol. Investing is the easiest thing in the world to predict, after the fact, just like sports betting
The silver bubble burst when some huge investor prolly unloaded all their silver at 150% profit in 7 months and made a couple billion, the rest of us small-time investors get to pay for their manipulation, standard investingComment -
Gold was less than 36/ounce in 1970, it is currently 1517/ounce 40 years later, many ppl do view precious metals as investments given its increase in value the last 40 years, 1000 in 1970 is 42000 worth of gold in 2011, not outrageous gains (works out to be around 10% APR) but the gains have been very solid and consistent. Precious metals have performed identically to a very good stock the last 40 years, they go up and down in value from year to year but tracked in the long-run they have certainly been a wise investment. Also their value is intrinsic so ya dont have to worry about some bullshit the upper management was doing to increase the stocks value and line their pockets with bonuses that when found out cause the stock to plummet and your investment to be worth jack shit. See Bear Stearns, Enron, Madoff, etc etcComment -
I totally agree with the crux of your post, but you just have to view USD or any other currency as a variable. I believe the "value" or purchasing power of gold has actually risen over the years, but silver I'm not sure. But price is a bad unit of measurement. Units of measurement don't change.
Lets pretend they did. If the amount of length we call an "inch" could change everyday. Let's say Day One you're 72 inches tall. Day two for some reason the value of inches fall, you didn't grow any more but magically you're now 78 inches tall. Day Three the value of inches rise, and now your height is 66 inches. Your actual height never changed, but the value of the units did. If inches go up in value, your height is numerically lower and vice versa. Same thing applies to precious metals and the USD. The value of precious metals typically doesn't change too much over time. But as the value of the dollar has gone down, the price of gold and silver has gone up. And since the USD has lost close to 98% of it's value since the creation of the Fed, it's almost official that we have become a banana republic. The only saving grace is so is most of the rest of the world. The smart countries are getting physical metals on their shores. The even smarter ones are actually producing wealth (ie industry) while nearly all our GDP is "stimulus" and war spending.Comment -
Well lost unfortunately you are right in that the value of a dollar has definitely plummetted, but that shows you why silver and gold or anything else is an absolutely necessary investment, I mean think about it if you had 35 dollars and put it in a coffee can buried it in your yard in 1970 and dug it up today, you would absolutely with no risk still have 35 bucks but whats worse is that due to inflation that 35 buys a fraction of what it would have in 1970. Now if youd bought gold with you it you could sell it and have over 1500 dollars, now would it be a "true" 10% gain per year, no absolutely not, Im not sure what 35 in 1970 would be worth when adjusted to 2011 but certainly a good percentage of that gain is forfeited due to inflation, but that's why you have to invest your money bc you're always fighting inflation. If you were a millionaire in 1970 I mean wow you were rich, but now you can have a million dollars worth of assets in a market like LA or NYC and very few would consider you really rich, in fact most of the decent neighborhood homes prolly cost 500k+, so you have to have successful investment just to counteract inflation and stay even, that's actually one of the goals of investing is just to keep what you already have.
Think about the Enron, Bear Sterns investors I mean they had millions one minute and basically nothing the next, at least with precious metals you know thats not going to happen they have stored value for thousands of yearsComment -
A very strong argument could be made that hard currency is the only currency with any value, fukin paper is worthless, think about zimbabwe and their 100 trillion dollar notes worth like 5 bucks USD, its just surreal, ya gotta right a check for twice what the price is bc by the time its cashed the dollars been devalued by half there. They say part of the decline of Rome had to do with getting away from pure coins and moving to shitty plated coins worth almost nothing as the empire expanded so rapidly, its real vs fake, you cant flood the market with real coins but you can flood it with all the paper you wantComment -
Ouch sir, silver from 48 to 34 in 4 days, keep in mind silver was only 8 bucks an ounce in 2008, in all likelihood some manipulation has been goin on, I mean its basically lost a 1/3 of its value in the past 4 days after having gained that much in the previous month and a halfComment -
Divest gentleman, divest. We will see $10 per oz before see $40+ again. The same goes for goldComment -
Long term...it will keep going...don't pay much attention to "corrections" if you believe in the long term. Otherwise draw your line in the sand and make your move. The tree gets shaken every once in awhile to weed out the week and dumb.Comment -
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I agree with this NOW, I mean at 34 I dont really see too much left to lose if you will I believe it could hit 30 but I dont see it going below that and even if it did in the long-run this is a fairly sound hedge against inflation, maybe not quite as sound and stable as gold but still soundComment
