Posted on 07/22/2020 4:21:51 PM PDT by Presbyterian Reporter
It's been 6 long years, but silver investors are finally seeing some return on their investment!
Market watchers have suggested that precious metals and commodities could be in for a rally as the global economy teetered on the brink of recession even before COVID-19 became a worldwide pandemic.
The spike in silver prices over the past several trading days has the look of a strong and sustainable move that could carry its price through the $25 level and maybe even towards $30.
Silver finished on Tuesday above $23, the first time it's been there since 2013. In the past 6 years, silver has mostly been stuck in a range between $15 and $20. Astute investors who picked up silver during the bear market low have to be smiling now as they've nearly doubled their original investment.
Earlier this year, I made the iShares Silver Trust ETF (SLV) one of my top 10 picks for 2020. I believed at the time that the global economy was slowing down, political tensions were running high and the fact that the Fed was willing to let inflation run hot for a while were all positive catalysts for precious metals, including gold.
Year-to-date, SLV is up 29%.
One of the reasons I prefer silver over gold right now is its relative value.
The silver/gold ratio has been falling steadily for nearly a decade. During the 2020 bear market, gold prices took off, while silver remained relatively flat. The best guess at the time for the lack of interest in silver was that it was a heavy industrial use metal and the slowdown in the manufacturing space was limiting demand.
But that just made the case for silver more compelling.
Just this week, the silver/gold ratio broke above an 8-year trendline and looks poised to continue this powerful move higher.
silver is a nice safe haven... no point in hoarding cash with interest rates so low.
Silver closed on Friday Jul 19 at $19.35. It is up almost $4 in the first three days of trading this week.
That explains the jump in prices at dismecoins.com The first President Trump silver bar used to cost $150.00. It’s now at $200.00.
“””no point in hoarding cash with interest rates so low.”””
You are so correct. In the ‘good old days’ it was easy to put your money in a one year CD and earn 5% with a guarantee you would receive your money back.
Today, a CD pays you next to nothing.
There is a lot of money sitting around with no place to put it. Silver and gold look to be in the beginnings of a major bull market.
That's what I like about these kind of investors. They want everyone to be rich! And if ya believe that, anything goes.
This is huge for me. I’ve got little gold, but lot’s of silver. I sure hope I don’t end up buying high and selling low.
Wow. BOught some 2 weeks ago expecting a hike.
It might be time to sell if you are an investment buyer and need the money.
It is volatile, can make a really nice profit. And, people can get burned. That is probably most people? A lot of people got smoked in 1980, and in 2010 or 2011. I don’t know why, nobody wanted it when it was four bucks for 20 years. I remember showing off a shiny new mint roll of American silver eagles to my roomate in the .mil.
“Wow, these are cool!, how much are they worth!?” His eyes sparkled along with his smile.
“About 5 bucks per”
“Really? Is that all!?” He lost interest in them, smile disappeared. Really weird.
Then when it did a Moon shot towards $50, in 2008-2011 everybody wanted to get in on the action. “I’m going to use my credit card to load up! Hi-Ho Silver, AwaAaaaaaay!!!”
Silver is not an investment, the guy writing the article is wrong on that. It is more or less a foreign currency. It didn’t used to be, but it is now.
Given the cratering deficit and that the market for gold and silver is less than google, there are plenty of cash filled investors who would buy the stuff for protection. The market is untapped at this point. I bought 2 weeks ago, I might buy again.
If you can’t pick it up and run with it you don’t own it.
L
Like gold, silver is a disaster hedge, not an investment - physical metals I mean.
Silver ETFs are thinly disguised gambling IMO. I do not believe that these funds have sufficient physical silver to to fulfill redemptions if a serious number of fund holders decide to take silver instead of selling their shares for cash. It’s a shell game. There is NOT enough physical silver to cover all the paper silver being sold. Ditto for gold.
In any case, my original point stands. Metals are a hedge, not an investment. I hold physical silver. If we are lucky we won’t need it and our daughter will get it when we die and sell it for current market value.
What’s copper doing?
Rosland Capital, baby! Free kit, fast, secure shipping...
And silver and gold are doing exactly what they’ve done for ages.
HEDGING against the Deep State. 800-329-8900
Oh - I also like certain stocks and GUNS!
The dollar index was at 100 on May 20, 2020.
Today the dollar index is just under 95.
If the dollar continues to drop in value, gold and silver prices will rise.
Since our Congress is in talks to spend a trillion or more dollars (that we do not have) the dollar index will continue to drop.
Copper is back to where it was in Jan 2020—just under $3.
Been hearing that it’s gonna “Break out anytime now“ for nearly 30 years.
I sold mine in 2011. It was about $45 at the time.
The Bass brothers sure tried to corner the market back in the 80s.
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