Investing in Silver
Sprott Physical Silver Trust confirms final delivery of silver bullion purchases Stockhouse 22, 2012 /CNW/ - Sprott Asset Management LP ("Sprott") is pleased to provide investors with an update on the status of the silver bullion purchased by the Sprott Physical Silver Trust (NYSE ARCA: PSLV) (TSX: PHS.U) ("Trust") through the follow-on ... |
Cornerstone Capital Report 0.19% Cu From Fortuna Project Copper Investing News Cornerstone Capital Resources Inc. (TSXV:CGP) reported test results of eight additional trenches from Fortuna copper-silver project in central Chile. Please see the comment policy for information on comment moderation. Only a tiny fraction of junior ... |
Silver Bull Resources- Aggressive Exploration in the Sierra Mojada, Mexico Silver Investing News Silver Bull Resources Inc. (TSX:SVB, NYSE AMEX:SVBL) is a Vancouver, British Columbia based mineral exploration and development company. The Company's prime asset is the Sierra Mojada Project located in the State of Coahuila, North Mexico. |
Gold And Silver Way Off Inflation-Adjusted Highs Seeking Alpha One of the key measures is investor participation, or in our case, the percentage of global assets invested in gold or gold mining shares. While this percentage has historically been above 20%, it is currently estimated to be around 2%. |
 Kapitall Blog (blog) | Investing 101: Deeply Undervalued Stocks With Positive Receivable Trends Kapitall Blog (blog) So a company that looks overvalued because of its relatively high P/E might look like a better investment if you take into account its high earnings growth. In general, a stock with a high PEG ratio is considered expensive or overvalued, while a stock ... |
 Resource Investing News | Pennies Under Threat as Copper Price Surges Resource Investing News By Shihoko Goto — Exclusive to Copper Investing News A penny simply is not worth what it used to be. With the rise of the value of copper over the past few years, one US cent is costing the government more to produce than it is actually worth, ... |
Why calm in Europe will boost Apple, Home Depot MarketWatch He and his team publish four daily advisories: Gemini 252 on S&P 500 E-mini and Treasury bond futures timing; Gemini SGX on gold and silver futures timing; Strategic Advantage on growth stocks, ETFs and the global investing environment; and Trader's ... |
Pennies Under Threat as Copper Price Surges Copper Investing News By Shihoko Goto — Exclusive to Copper Investing News A penny simply is not worth what it used to be. With the rise of the value of copper over the past few years, one US cent is costing the government more to produce than it is actually worth, ... |
 Firstpost | 10 reasons to invest in the MCX IPO Firstpost It ranks first globally in terms of silver trading by volume, second for gold, copper and natural gas, third for crude oil and fifth in terms of overall traded 'futures' volume. Due to the craze towards precious metals in India, the growth of the ... |
Enduring popularity of gold Stockhouse After flirting with the top spot for some time, China emerged as the world's largest gold market for jewelry and investment during the fourth quarter of 2011 as demand in India weakened. This is the first time China's demand outpaced India's in 11 ... |
Why the Price of Gold Rises and Falls
Gold is a safe haven from the world crisis that is slowly diminishing faith in financial and monetary systems. History has proven that gold has always been money that holds its value in time of trouble. As the U.S. dollar devaluates along with currencies throughout the world, inflation will eat up your paper money much faster than your pay raises can keep up with inflation. Since the gold windows of the United States were closed by Richard Nixon in 1971, gold has been able to adjust its price in the world markets. While there are different reasons for golds price variations, driving forces of fear and inflation has always pushed up the price of gold.
Looking around at the financial markets today, we see fear has driven the price of gold from around $300 an ounce in the year 2000 to a high of around $1900 an ounce in 2011. The majority of economist never saw the problems coming that are plaguing the world economies today, which in turn are driving up the price of gold. So what drives the price of gold down, you might ask? Supply and demand. As economies get stronger, so does their currency. Gold drops in price when inflation goes away and financial markets stabilize. Investors sell their gold when this happens and invest their money in financial markets that now make profitable gains. This increases the gold supply which can stabilize gold prices and possible drive gold prices down. At this moment, China, India and Russian banks are buying huge amounts of gold. The U.S. and European economies are declining because of problems that may take years to resolve. Gold has and always will be the safe haven during these times of economic troubles.
The Asian banks know what is coming and even though gold prices today are at their highest levels we have seen to date, this has not dettered their banks from buying massive amounts of gold. So, what drives the price of gold up? Again, supply and demand.
How much gold has already been mined and how much more gold can be extracted to keep up with the supply and demand? The fact that one ounce of gold sells for well over $1600 today can help shed some light on the amount of gold available to the world markets. Gold mining companies agree that it takes about $800 for them to produce one ounce of gold. Statisticians have deducted that all the mined gold available today in the world can fit into a 20 meter cube; that is roughly 65 feet high, wide and deep. If that is all the gold there is, then, what will happen to the price of gold, is our economies will sink further into the abyss.
Printed money is basically an I.O.U. furthermore, history has shown that printed currency devaluated or even became worthless in times of financial turmoil. Gold will fluctuate up and down in the short run, but in the long run, gold has steadily outperformed stocks since the mid eighties. The fact is gold has gone up 50% since 2010.
The financial world crisis is so complex and disruptive that governments around the world are scrambling to find solutions to problems that took years to develop and will take years to correct. The steady rise in the price of gold is directly related to these ongoing world problems.
Buy gold now and benefit from the rising value that will see further unbelievable gains in the coming years.
Investing in SILVER
Silver has always been a source of money since ancient times and has followed it's big brother gold, as demand dictates its price. Inflation and fear of financial markets have been key to rising silver prices, while global market stability drives down silver prices. The outlook for silver prices are changing to more positive gains, as the stock market and economies volatile swings are sending investors scrambling to other safe havens in order to protect their money.
The price of silver gained 66% in the year 2010 and out performed gold. Industrial use of silver also rose 18% in 2010. The industrial demand has put pressure on the supply of silver and mining operations are hard pressed to keep up with investment and industrial demand for silver.
As the world's economies fall deeper into uncontrolled debt, the paper currency glut will lead to inflation. This event will