Silver shines but equities decline (Silver breaks $10/ounce! 22-year high!)

Yahoo/Financial Times ^ | 3-2-06 | Dave Shellock

[Atlas Sneezed]

The prospect of further rises in interest rates in the eurozone unnerved both equity and bond markets on Thursday.

...

The price of silver rose to a fresh 22-year high above $10 an ounce amid expectations that a silver exchange-traded fund would soon receive US regulatory approval.

[Sic Luceat Lux]

see a major rebound in Asia tonight, but maybe not all the way back to 14.50

No, I don't think so either. Might take another full week to get back to the 14's.

[Freedom4US]

I'm still learning, stop trying to out-think myself. Silver is still a heck of a buy - It's about 5 bucks in 1980
dollars. Take possession of the physical, buy and hold. Has great price/upside potential - figure that if the world economy keeps booming - it will go up. If China for some reason slows down - it will still do relatively well because the US is spending so much. IMHO, do your own due diligence!!

[ExSES]

Take possession of the physical, buy and hold.

And, remember, silver is not a stock or condo/house that you are going to "flip"... It is an insurance policy which will retain/increase in REAL value over time and..., you hope you never have to "cash in the policy" due to things going way South!!! Also, accumulate over time, not in an emotional rush...

[Cicero]

I expect gold and silver to continue to correct until toward the end of next week. We could get a mild up day tomorrow, but it will take a week for this correction to run its course.

Note that I posted that warning before the price fell in Asia.

I happen to agree with you that this is a very good time to invest in silver and/or gold. But I would wait another week to do it.

[Sic Luceat Lux]

Take possession of the physical, buy and hold.

Yes. And it's especially wise to now -have about 15% of one's holdings in hard money. Silver, gold, platinum.
And hold it.

[Sic Luceat Lux]

I am in agreement with your entire post. And yes you did make the perfect call on Asia. Superb!
What I might add here is that what I learned from my years in the coin/ precious metals business - that in days like yesterday and today...there will be these type days and among coin dealers, we called these dips-shake outs! There is a very large percentage of people/investors -who invest in silver and gold -who get their logic backwards and they get panicky and, using the past twenty-four hours as an example -they sell off all their holdings thinking that these metals will fall and continue falling endlessly. Hence we referred to these folks as 'shakeouts.'

The numismatic business/coin business/metals is a business! We (I) profited in a very large way on these type days where shakeouts occured. It's business!

Unfortunately I didn't use my best logic myself when I confirmed that last batch of 500 ounces, but it's no big deal because I can just hold for now and also if silver does happen to make it down to $11.00 - I'll buy another 500 ounces to help offset my 500 oz purchase at $14.75.

(and as I have stated in the earlier posts in this thread, I have many thousands of ounces at $8.50 and $11.68 -so I've spread out my buys)

I hope all of our conservative FReepers here will benefit/profit from what we are all discussing here. Especially in these interesting times. / Bttt

[southland]

ping

[CodeToad]

My last buy was at $12.35 or so. A dip to even $11.00 is not scary as that is a few percentage points. I have invested a great deal for the mid term not as a day trade. If it dips to under $11, I'll just have to buy more.

[Sic Luceat Lux]

If it dips to under $11, I'll just have to buy more.

Perfect strategy my frd.

[Sic Luceat Lux]

Silver and gold both off the lows in Asia now; just as you predicted in the other thread:
Silver @ 2:53am: $12.34
Gold @ $618.90

[Sic Luceat Lux]

What an interesting time in history for silver:

Right now:
11:41am cst-24 hours after hitting low of $12.14 in N.Y.
Silver: $12.90
Gold: $628.30
Downward spiral stops/strong rebound.

[ExSES]

What an interesting time in history for silver:

Right now(as of posting):

Silver: $12.95

Gold: $632.50

Downward spiral stops/strong rebound.

[Sic Luceat Lux]

If I had to make a guess, I'd say silver will close at $13.55 this coming Monday in N. Y. / Asia will bring it up to $13.90. Well see...

[Sic Luceat Lux]

I'm off one week but silver went right back to mid-13's Friday and closed up @ $13.61 / with gold leading the way with a new high since the '80's of: $652.60

[Cicero]

I expect gold and silver will soon be on their way up again, after the correction.

[Sic Luceat Lux]

I agree. Asian market now open for the new week with silver and gold both up:
Silver now: $13.90
Gold now: $657.40

[Sic Luceat Lux]

Up again!
Silver: $14.24
Gold: $664.60

[Sic Luceat Lux]

fyi

[joanie-f]

My heart is breaking today for stockholders in Apex Silver Mines (SIL/AMEX). Bolivia has begun nationalizing natural resources (with President Morales arrogantly proclaiming that he is tired of international companies ‘pillaging’ Bolivia’s natural resources). Many expect Bolivian silver mines to be next. The bulk of Apex’s mining operations are in Bolivia, and the stock is down 36% on the day as I write.

[ExSES]

The bulk of Apex’s mining operations are in Bolivia, and the stock is down 36% on the day as I write.

A classic example of why one needs to invest in "stable" locales! In the times we live in, with the dollar teetering on the brink, Canada & Australia fill the resource bill...