Silver Prices

Silver is the best investment

The National Inflation Association says Silver is the best investment.

In our opinion, investing into silver is the only sure way to tremendously increase your purchasing power over the next ten years.

Throughout world history, only ten times more silver has been mined than gold. If you go back about 1,000 years ago between the years 1000 and 1250, gold was worth ten times more than silver worldwide. From year 1250 to 1792, the gold to silver ratio slowly increased from 10 to 15 and the Coinage Act of 1792 officially defined a gold to silver ratio of 15. The ratio remained at 15 until forty-two years later when the ratio was increased in 1834 to 16, where it remained until silver was demonetized in 1873.

The gold to silver ratio remained between 10 and 16 for 873 years! It is only over the past 100 years that the gold to silver ratio has averaged 50. History will look back at the artificially high gold to silver ratio of the past century as an anomaly, caused by the dollar bubble and the world being deceived into believing that fiat currencies are real money, when in fact they’re all an illusion. Next decade, the fiat currency experiment will end badly in a currency crisis. The wealthiest people will be those who bought silver today and were smart enough to research and pick the best silver mining stocks.

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While the vast majority of the gold ever produced remains sitting in vaults, 95% of the silver produced has been consumed by industry for thousands of applications in such tiny amounts that most of it will never be recycled and seen on the market again. Nobody knows the exact above ground supply of silver today, but most likely it is somewhere in the neighborhood of 1 billion ounces. That’s a total worldwide market value of only $17.4 billion, when the world has over $7 trillion in foreign currency reserves, mostly in fiat currencies that they will need to diversify out of due to rampant inflation.

Besides the fact that the world has been ignoring the monetary value of silver, silver prices are artificially low due to a large concentrated naked short position. It’s not a coincidence that the day silver reached its multi-decade high of over $21 per ounce in March of 2008, was the same day Bear Stearns failed. Bear Stearns was a holder of a massive short position in silver. In our opinion, this was likely a naked short position because there is nobody in the world who owns such a large amount of silver for Bear Stearns to have borrowed.

The reason why we believe the Federal Reserve was so eager to orchestrate a bailout of Bear Stearns, is because Bear Stearns was on the verge of being forced to cover their silver short position. Because the silver market is so small and tightly held, if Bear Stearns was forced to cover their short position, silver prices could’ve potentially rose to $50 per ounce or higher overnight. The world would’ve seen how economically unstable our country is and confidence in the U.S. dollar would’ve rapidly deteriorated. JP Morgan still holds the silver short position they inherited from Bear Stearns. The concentrated naked short position in silver today is the largest short position in the history of all commodities, as a percentage of its market size. Eventually, JP Morgan will have to cover this short position or it could jeopardize their existence.

The best evidence that the short position in silver is naked and not backed by real silver, is the differential between what silver trades for on the Comex and what real people are willing to pay for physical silver on eBay. Every hour on eBay, there are dozens of one ounce silver coins selling for approximately $25. That’s about a 43% premium over the current spot price of silver. With so much demand for physical silver, we doubt the silver shorts in the paper market will be able to manipulate prices downward for much longer. A major short squeeze could be right around the corner and silver could take off in a way that shocks even those who are most bullish.

Are Silver Prices Rigged?

Every market is manipulated these days, Outsider Club editor Adam English writes, and none is rigged less than silver is, thanks to JPMorganChase & Co.

English’s commentary is headlined “Why Is Silver Manipulation So Absurd? Silver Prices Are Blatantly Rigged” and it’s posted at the Outsider Club’s Internet site.

Some Things to Consider Regarding Silver Prices

You have probably heard that gold and silver is a hedge against inflation. These metals have been used as a store of wealth for about 6,000 years, but did you know that silver has some unusual qualities? Lots of people do not know it, but silver is necessary for most of the electronics, solar power panels, batteries, medical devices, and antibacterial applications used today.

Silver is an important metal because of its rarity, but it can also be used as an industrial metal as in the above list. Some have predicted that silver will become even more rare in the future and according to the USGS (United States Geological Society), could be gone by 2020.

Gold is a valuable metal too, but gold only acts as a store of wealth with very few industrial applications. So, why is silver such a terrific investment? When you consider the silver/gold ratio, silver is an absolute steal considering that historically it has taken about 15 ounces of silver to get a single ounce of gold. Right now that ratio reaches about 55 ounces of silver to an ounce of gold. So, the ratio is way out of whack and really should go lower.

Lots of experts say the silver to gold ratio ought to be about 10:1. In other words, there should be about 10 ounces of silver inside the ground for every ounce of gold. The ratio is now 55:1, which is only kept here by market manipulators. Once the manipulation ends, silver will skyrocket. Keep in mind the amount of silver used in industrial applications continues to increase every year due to the growing demand for electronics. China, India, and other nations who are industrializing are putting a huge demand on already stretched silver sector.

A lot of economists think that silver might go to around $100/ounce, and long term predictions by some pros put silver at $500 and even $1,000 per ounce. If you are wanting to retain your wealth during a historic period of inflation, now is the time.

The public is largely kept out in the dark with regards to these silver price predictions. Allot of folks who were called crazy 10 yrs ago for saying to buy silver are actually getting praised for it now. Not long ago, the silver price was around $4.00 and ounce, and it is now hovering around $30.00.

Recent Gold Silver Prices


Earn Silver

Any time you are considering the buying latest gold silver prices, there are many essential parts of information you should know in advance of investing. Silver has noticed a phenomenal rise recently, utilising the expense just $7.50 per ounce in 2008, rising to nearly $50 earlier this year, just before settling to $30 for the end in the year.

Anyone who 3 many years ago had the insight to look at the up-to-date silver and gold prices were cheap could well be thinking about a 6 fold turnover on his original investment. Certainly, in 2008 you’d have required to have phenomenal insight to understand that a silver boom involved happening, yet these elements could be predicted.

Despite the fact that it’s tempting to look at that any person who invested only agreed to become lucky, the phenomenal rise is actually a deliberate place in the investment cycle. When silver was just $7.50, no-one believed that it would rise loads in such a short time on its own – every body just thought it could possibly stay at that price. Even so ‘smart money’ or influential organizations with a great deal varied dollars have been accumulating silver without raising a lot of public notice. They’d be buying in small amounts so to not increase the amount, but to gradually improve their own stocks. Following a time, this ‘smart money’ could be informing institutional traders for example large hedge funds and pension funds to purchase silver – after which with their combined would possibly start buying of silver in droves – this could start to propel the amount into the public eye, and overwhelm anyone advertising silver.

One particular this phenomenal cost increase is in the public eye, there’d be media advice to buy silver, and also the public would start to order current gold silver prices heavily. The ones that got in with the start started to generate cash and see their investments increase, and they would tell their friends. Regardless if they sold for any decent earnings, they would see a rise could be so meteoric they missed and feel that they sold far too early, and plough profits back in for the huge total price. At this stage after all, the smart money has stopped buying, it is selling and making vast profits. Time comes once the institutional traders realize the smart cash is selling, and they very begin to provide, resulting from the marketplace to peak and start to fall. When this happens, initially the public see this as being a bargain and send the expenditure up slightly in advance of they realize the traders making use of the revenue to prop the market place up are promoting as quickly as they can – which will cause a climate of panic promoting.

The current gold silver prices then quickly falls, as being the public who have invested in silver at a far high selling price sell for the loss as they believe which the bottom has fallen out. At this time, the media are announcing that silver is absolutely a bad investment, and fueling the panic. This panic returns prices into a low value, which is here, where smart revenue gets another opportunity to purchase all over again at a low rate to start the cycle once once more. Once you are contemplating buying silver it’s smart to know the perfect time to shop for and market.

Searching for news and investing advice that you simply can count on? Well turn to us for price of gold Come across all your investing wants about topics such as gold prices silver prices and so considerably much more at this time!

Regarding Silver Prices from NIA

Following is a message received from NIA (National Inflation Association) regarding the recent volatility in silver prices.

This past week’s dip in the price of silver from nearly $50 per ounce down to below $37 per ounce is exactly what we predicted would happen a week ago on NIAnswers.

A week ago on NIAnswers we said, “The gold/silver ratio has declined during the past year from 70 down to 32. We projected it to decline to 38 this year, so there is a chance silver has run too far too fast. It wouldn’t surprise us to see a large dip in silver prices with the gold/silver ratio bouncing back up to 40. However, we are 100% sure that the gold/silver ratio will decline to at least 16 this decade. Therefore, we think silver is a buy here for the long-term, but it is probably best to be buying gold here even more heavily than silver so that if silver dips in the short-term, you can sell some gold to buy more silver.”

With gold now at $1,503 and silver at $36.81, the gold/silver ratio is now back up to 40, which is exactly what we predicted would happen a week ago when the ratio was 32.

With a gold/silver ratio of 40, silver is starting to once again become very attractive. Silver will likely remain very volatile in the short-term, but it is best for us to ignore this short-term noise and focus on the long-term. There is simply no better asset to own during hyperinflation than silver. We are 100% sure that the gold/silver ratio will return to its historical average of 16 within the few years, which means that those who buy silver today will see a 2 1/2 increase in their purchasing power.

Most of the people who are taking profits on silver today are going long U.S. dollars, which is the riskiest asset of all. Even though we knew silver was going to dip, we didn’t sell any of our silver. We simply stopped buying silver in recent weeks and focused on accumulating gold. If silver continues to dip in the short-term, we will strongly consider selling some of our gold and using the money to buy a lot more silver.

It is important to spread the word about NIA to as many people as possible, as quickly as possible, if you want America to survive hyperinflation. Please tell everybody you know to become members of NIA for free immediately at: http://inflation.us

Silver Bullion Bars

At no time has silver been worthless. While that may seem like a silly statement, if you really think about it, stocks and bonds, real estate, many other types of investments may become less than stable, but at no time in history has precious metal been worth nothing at all, or been hard to sell.

5oz Apmex Silver BarFor thousands of years silver was the weight by which wealth was measured. It was cheaper than gold, but has been the basis for entire civilizations.

Even the renowned Warren Buffet did his bit with the precious metal.

In the late part of the 1990’s Buffett bought more than 100 million troy ounces (a few thousand metric tons) of silver. He did so at a price of about 4 dollars per troy ounce or a bit more. The silver price doubled and Buffet apparently sold, announcing in 2006 that he no longer held silver as an investment.

Pricing plummeted in 2008, as did many others but since then has continued to rise, slowly but steadily. Silver bullion prices can fluctuate quite widely dependent upon the supply and the demand for it. Silver is currently enjoying a very wide popularity as an investment item because the prices have been relatively good and they are steady prices.

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