Silver
Currently, silver is 300 times cheaper than the normal price for silver
lasting for 1000's of years, when the silver in a dime was worth about a
day's wage. A day's wage today is worth about $150, but a silver dime
today is worth about $.50. Thus, if silver rises in value 300 times by
the time the world returns to using gold and silver as money again, then
silver at $7/oz., will rise to over $2000/oz. The reason that silver is
cheap today is that no nation on earth is using silver as money.
Monetary demand for silver started to end in the late 1800's, and
finally ended in the late 1960's. In the last 60 years, the trend has
been to consume, in industry & electronics, nearly all the silver ever
mined since the beginning of time; 7/10ths of an ounce of silver per
person, per year, in modern industrial nations. Investors are beginning
to become aware of the silver shortage, and thus, in 2002, Hecla mining
(silver) was the top performing stock on the NYSE. In 2003, silver
stocks, on average, were up 314%. Today, silver bullion itself is up
from $4.15/oz. in the spring of 2003 to about $7.30/oz. Silver prices
peaked recently at $8.40/oz. in April 2004, and the trend is still up.
Silver may reach about $15-25/oz. in the next year. I believe silver
prices will exceed historic norms, due to the shortage, and the renewed
awareness that silver is most useful as money, because it is not
fraudulent like broken paper promises.
Silver stocks stand to outperform silver bullion price gains because you
can buy title to more silver in the ground for the same price. For the
price of one ounce of silver, you can either own the ounce of silver, or
title to up to hundreds of ounces of silver in the ground. But which
silver stocks should you buy? You must do research! But I strongly
suggest that you start with my silver stock report that contains a
listing of about 100 of the best silver stocks that I know of. Sign up
to receive my free report via email.
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Silver Stock Report
Silver Investments
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