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Registered
Join Date: Feb 2003
Location: Kailua, Bend, & Tamarack
Posts: 1,618
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A bit of internet research will yield the following info:
Silver may be the most price-manipulated commodity in existence. This benefits the insiders who beat the price down with massive short contracts and profit from their control/timing (allowed because a lower price makes the US$ look good). Guys who really analyze this situation expect a possible drop below $25 some time in a few months (but the last time this price was reached it stayed there for about 10 minutes before before springing back upward).
India, China, Mexico .. they're all buying gold AND silver, despite today's high prices. While our citizens are dumbed down about the value of tangible "money", the average Indian or Chinese household has 30-50% of their savings in precious metals. (We're obviously talking about physical product, not paper contracts.)
Industrial uses for silver are numerous .. and its being used up faster than it's being mined. (It's said that 95% of all mined silver lays in landfills, while 95% of all gold mined sits in vaults.) As for physical investment, the US Mint has had problems keeping up with the production of silver Eagles, and coin shops can't keep enough inventory).
I'm no expert either, but I find the reading on this subject to be fascinating.
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