Keep Thinking Silver (11/21/06)

You can buy silver, silver stocks or SLV the silver price equivalent.
Long term silver will out perform gold.
Today there is $3 trillion in gold accounted for versus $12 Billion in silver.
Yet the gold silver ratio on price is roughly 50 to one.
If silver is an industrial commodity and gold is not what happens when industry runs out of silver?
The price goes up. When the Hunt brothers tried to corner the market the ratio was 16 to one.
There was $2.2 trillion in gold then to $80 billion then in silver.
Why is silver still undervalued?
If 16 to 1 happened today Silver would be $36 per oz.
Look at the supply side it is down. Look at the demand side it is up.
What does that tell you in the long run - silver is under valued.
Keep thinking silver.


Comments
Post a comment









Remember personal info?


Note: All comments are submitted to the site editors for approval before being published.






Assigned to category: commodities
« Trivia (11/20/06) | Main | Trivia (11/22/06) »