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1 posted on 05/26/2023 6:16:11 AM PDT by NewJerseyJoe
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To: NewJerseyJoe

Simple, the people who are saying silver is undervalued are those who are trying to convince you to buy their silver at a price that is higher than is justified. (It’s a con.)


2 posted on 05/26/2023 6:33:51 AM PDT by DugwayDuke (Most pick the expert who says the things they agree with.)
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To: NewJerseyJoe

Silver is just a commodity, and the replacement of film by digital took a big chunk out of industrial demand. The American west (not even considering the rest of the world) is floating on silver deposits that will never be mined out - the demand will never be enough to exceed supply.

It is something you buy cheap and sit on, until a wacky Democrat gets elected - which you then sell off to the panicked.


3 posted on 05/26/2023 6:46:44 AM PDT by larrytown (A Cadet will not lie, cheat, steal, or tolerate those who do. Then they graduate...)
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To: NewJerseyJoe

The argument goes like this:

Silver is rarely mined by itself. It is usually a by product of other mining. So, production is related to economic conditions.

The traditional ratio for silver to gold is 15%. It’s currently in the 80:1 area. For the past 20 years or so, it was in the 60:1 area. So, there is one room there.

Silver is primarily an industrial metal. It is heavily used in high tech applications like computers, phones, and solar panels. As the world goes more high tech, it will consume more silver.

There are a whole bunch of conspiracy theories about how and why there will be shortages. Most of them are crap, so I’m not going to go into that.

Finally, silver is a precious metal. Many of us recall using silver coins to buy stuff. Many silver investors will tell you that it will be a good form of exchange in a high inflation or SHtF scenario. I always thought if we are living in “bartertown” and using 1957 dimes…we will have bigger problems.

As a PM it should move as a hedge to inflation.

Those are the basic points people use for holding precious metals.


4 posted on 05/26/2023 7:06:24 AM PDT by Vermont Lt
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To: NewJerseyJoe

Unless you want to make something from it ( gun handles, knife handles, musical instruments) i wouldn’t bother. I have dozens of pounds and it hasn’t even kept up with inflation.


5 posted on 05/26/2023 7:21:37 AM PDT by Organic Panic (Democrats. Memories as short as Joe Biden's eyes)
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To: NewJerseyJoe

Markets are manipulated.

Does that mean they are “rigged”?

Most likely.

If a presidential election can be rigged, then markets are no different.

The Hunt brothers failed to corner the silver market decades ago.

Today it might be a different story.

Somehow, someway somebody appeared to corner the market on eggs.

I’ve seen the “reasons” for soaring egg prices but nowhere does it say fake news doesn’t apply to eggs.

Bought some eggs on Wednesday and prices are starting to come back to Earth.


6 posted on 05/26/2023 7:35:48 AM PDT by Biblebelter
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To: NewJerseyJoe
I see some reasonable comments here, but I think there is a bit more to the story .....
If you compare the volume of “silver” that is traded on the market, to the actual volume available ... you find most contracts are never delivered and settled in cash.
... A few years ago a trader decided to exercise his contracts and take delivery of the metal.
It caused a bit of stir .... he ended up settling in cash , but with a substantial premium added.
In other words .... there is a lot more “paper” silver then real silver.
Real silver can not be had at “spot”.
The paper market should be a way for producers to lock in prices now for production later. A good idea.
But anyone can sell a contract for future delivery, even a kid in mom's basement.Sell to open /buy to close ..
IF the paper market and the real market ever diverge the real value of silver would be discovered.
Is it more then 23$ or is it less?
When the Hunts made a move we saw 50$
How much is the cost to produce?
What is the real demand and replace rate?
If fiat money fails will people accept silver for trade?
Like they say ... you can't eat silver ..
Would the gov accept silver for taxes?
Silver may be a good way to hold value during a currency switch, or hedge inflation.

I have some silver ... and some paper silver.
Because we can't foresee the future, I think it's prudent to hedge a little in a lot of ways.

7 posted on 05/26/2023 7:44:36 AM PDT by 1of10 (be vigilant , be strong, be safe, be 1 of 10 .)
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To: NewJerseyJoe

It’s not that silver is undervalued, it’s that gold is OVERvalued. I think due to certain sovereign buyers like China and Russia.

https://www.reuters.com/markets/commodities/central-banks-bought-most-gold-since-1967-last-year-wgc-says-2023-01-31/


8 posted on 05/26/2023 8:55:06 AM PDT by Chad C. Mulligan
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To: NewJerseyJoe
Doug Hagmann and Steve Quayle discussed the precious metals market last night. The big guys are stripping trillions of dollars out of the banks. They buy paper gold/silver certs at a 20% loss to the bank. The other 80% is used to purchase physical gold/silver and stash it in Dubai. If you have less than $10 million to play, they won't give you the time of day. There is little physical gold and silver available to the small retail buyer right now and it comes with significant premiums. As always, if you don't hold it, you don't own it. Paper certs and ETFs are backed by almost nothing. You'll never get the physical metal in exchange for the paper.

Hagmann show link

Steve Quayle has been a precious metals dealer for nearly 30 years. He understands how the market works. The program runs 60 minutes. I run it at playback speed 1.5X.

9 posted on 05/26/2023 9:10:44 AM PDT by Myrddin
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