Is Silver Worth $1000 Per Ounce? What If It Already Was?

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Is Silver Worth $1000 Per Ounce? What If It Already Was?  

brighteon.com

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David Morgan is hit or miss with silver. Sometimes he's a tried and true silver bug then other times he seems sold out, saying nah silver ain't goin up that much. James Anderson of SD Bullion has some pretty convincing numbers that silver should be trading at around $250 per ounce. 

Then there's Bix Weir who claims it should be thousands of dollars an ounce and the exchange rate of silver to gold should be 1 ounce of silver to 10 ounces of gold. Estimates all over the map. Personally I think it should be much, much higher since it being repressed in the future's market where they sell enough gold or silver future's contracts in 3 days than is mined in an entire year. 

Then there's the old rule of thumb that investors should own 10% of their wealth in precious metals and right now I think it's less than 0.5% for gold and much less for silver. So even it that ratio went back to historical norms gold would go up 20 times and silver probably 4 times that since the gold to silver ratio is abnormally high. 

Anyways, good thread just wanted to chip in.

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There are a few things that are good to keep in mind with precious metal investments.

First is that they are just a hedge against inflation that can go up and down in value in relation to paper (FIAT) currencies with the benefit of holding intrinsic value that can't drop to zero.

The establishment of paper trading of precious metals with margins has allowed prices to be manipulated by big banks, etc... just like currencies and stocks.

As far as determining a baseline value for silver, you need to look at the cost to mine. I don't follow it regularly, but do recall a time around 2010+/- where spot price was just below cost to produce.

The gold to silver ratio theory suggests that there is more potential profit to be made with silver than gold, but you have to have a way to get out of silver into some other asset to take advantage of the gain.

TPTB will drive down values of things with intrinsic value like PMs & real estate as they dump FIAT currencies and other fictions of wealth so they can get in on the real value stuff as cheaply as possible before the fake stuff crashes.

The video below is focused on trading strategy using the gold/silver ratio, but what I was looking for was more about the value ratio that would exist if all external manipulations were removed like they would be in a crash scenario, which iirc, is between 40-50 to 1. With that as a measure, it makes sense to buy silver over gold any time the ratio is over 50 to 1. Other factors could come into play like how much wealth needs to be converted to PMs and how portable do you need it to be...

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https://halturnerradioshow.com/index.php...-silver-32

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https://halturnerradioshow.com/index.php...5-in-china

[DaJavoo]

https://halturnerradioshow.com/index.php...5-in-china

It's only going higher.

The little peeps who cannot afford gold CAN afford a bit of silver and demand is pushing the price and the value is catching up with the historic gold/silver ratio.

[=42]

https://halturnerradioshow.com/index.php...5-in-china

It's only going higher.

The little peeps who cannot afford gold CAN afford a bit of silver and demand is pushing the price and the value is catching up with the historic gold/silver ratio.

One must keep in mind the perceived increase in value as a result of inflation. To some degree it is the purchasing power of the dollar going down and not an increase in value of the PMs. Traditionally and practically, PMs are just a hedge against inflation.

A better measure for any increase in value is a comparison to the CPI (consumer price index) or some other ideally less manipulated commodity to see if purchasing power has increased. You just have to pay attention to the contents of 'the basket of goods' they use to calculate the CPI, as they will change them from time to time to show better results.

A consumer price index (CPI) is a price index, the price of a weighted average market basket of consumer goods and services purchased by households. Changes in measured CPI track changes in prices over time.[1] The CPI is calculated by using a representative basket of goods and services. The basket is updated periodically to reflect changes in consumer spending habits. The prices of the goods and services in the basket are collected monthly from a sample of retail and service establishments. The prices are then adjusted for changes in quality or features.[citation needed] Changes in the CPI can be used to track inflation over time and to compare inflation rates between different countries. The CPI is not a perfect measure of inflation or the cost of living, but it is a useful tool for tracking these economic indicators. [2]