Question about Silver (buying, properties, investment, dollar)

[Jamerschris]

Ive been buying Silver latley Proof coins that it.. Im wondering at the moment it is $33 an ounce... does anyone actually seeing this spiking? or should I just quit buying Silver in all?

I always here how Silver will increase and increase and it seem it has always stayed below $50 for a LONG time... wwhat will silver hit per ounce? will it ever go above $100? its frustrating a bit.

[Arushan]

It's because of the eurozone drama. A weaker euro=a stronger dollar=cheaper silver.

Manufacturing slowdowns have an impact too.

Plus, I have a feeling Silver and Gold are being manipulated by the FED. They just might be secretly leasing them, preventing the metals from getting too high in price or at least causing it to fluctuate.

[k.smith904]

I almost jumped into SLV in high teens and didn't. I want to get a nice little position here soon but I need a clear sign. Maybe I'll just wait till Europe gets its **** together.

[hueyeats]

Can't eat silver.

Besides... with the way the price of food is going 20% plus... food may be the better investment.

[halfwitwanderer]

Shorting silver and gold...I see it as a bubble just waiting to pop.

[jtur88]

Originally Posted by hueyeats

Can't eat silver. ... food may be the better investment.
.

Neither can rats. Ever try to store food for a long time?

One thing you can be sure or, though. The price of food will never, never go down.

[a34dadsf]

Originally Posted by jtur88

Neither can rats. Ever try to store food for a long time?

One thing you can be sure or, though. The price of food will never, never go down.

The key is diversification. You don't want to be betting your entire portfolio on one asset class. You want a little silver, a little gold, some nat gas, some oil properties, some farmland etc. Each asset class has its ups and downs.

[wawaweewa]

Silver isn't like Gold and that's where many fall into the trap.

Contrary to popular belief, silver is a highly speculative industrial commodity. Gold is not. When you're betting on silver, you're betting solely on the growth/ speculation regarding growth (or lack thereof) of world output.

[jtur88]

Originally Posted by wawaweewa

Silver isn't like Gold and that's where many fall into the trap.
.

Silver is also not like gold, in that silver gets used up and has to be replaced. It gets chemically combined for industrial uses and gets used up and cannot be retrieved. However, gold is chemically inert, and virtually all the gold that has ever been mined in the world still exists as pure gold. Gold also has industrial uses, and the industrial demand can contribute to price fluctuations, but it never gets used up.

[wawaweewa]

Originally Posted by jtur88

Silver is also not like gold, in that silver gets used up and has to be replaced. It gets chemically combined for industrial uses and gets used up and cannot be retrieved. However, gold is chemically inert, and virtually all the gold that has ever been mined in the world still exists as pure gold. Gold also has industrial uses, and the industrial demand can contribute to price fluctuations, but it never gets used up.

The industrial demand for Gold is extremely low. I don't know the exact figure but it is around 10% of available supply.

The problem with silver is not that it is used up. There's plenty of it and it's not particularly difficult to mine and refine. Also, there are viable alternatives to silver in it's various industrial uses.
The problem is that it is very much subject to short term demand (the supply side is kind of moot as there's plenty of it). Silver is more of a trading than an investment vehicle.