Silver at $9 Per Ounce -- I Told You So!

[Rawles]

I just checked the charts at KITCO.com. Silver was at $9.00 per ounce, and gold was at $529. This bull just doesn't want to stop to catch his breath! My advice: Buy on the dips--assuming that there will be dips. Thusfar, however, the advances look more like stairsteps, with no retracement.

[ephv]

They're busy out buying more beans with faux money. Diversify!!! All gold/silver or all beans/bullets is dumb. The naysayers are caught in their pride and refuse to buy. I don't know where this will stop but I do remember a man I worked with in the 1980s who bought 10 oz of gold when it opened for Americans to own again. He rode the wave and sold as it started to come down. He bought at $40/oz and sold at $820/oz. Many of his friends cried when he bought his new bass boat with cash.

[Powderfinger]

Originally posted by ephv
They're busy out buying more beans with faux money. Diversify!!! All gold/silver or all beans/bullets is dumb. The naysayers are caught in their pride and refuse to buy. I don't know where this will stop but I do remember a man I worked with in the 1980s who bought 10 oz of gold when it opened for Americans to own again. He rode the wave and sold as it started to come down. He bought at $40/oz and sold at $820/oz. Many of his friends cried when he bought his new bass boat with cash.

Coulda woulda shouda...I sat in a bar with my buddy in Oct. of '79 wondering out loud about what I should do with a $1200+ check in my pocket from an insurance co. Some drunk had crashed into my rig and totalled it while it was parked on the street at dark thirty. My buddy's mom had been a coin and bullion collector for years and worked for the state as an estate tax auditor. He said that she had told him silver would go to $50/oz. in the near future and that I should sink it all in silver bullion. Now, if I had bought and sold at the right time, and then invested the profits in Microsoft, I could have parlayed that check into about $4,000,000 and retired in the mid '90s. Gee, stupid me.:rolleyes:

[BUFF]

I rented a pumpkin farm and raised pumkins once. They cancelled Halloween that year.

[Sword of Laban]

Well when the 8 dollar an ounce topic came up I contacted a man I know who collects. He needed cash and offered me 1 oz rounds at $6 each. When I got there he had checked the price on silver and insisted on $8, I still bought all I could afford at the time and wish I had more. This is an emergency resource now, I will probably not sell it unless I have to. Now I need more beans and ammo.

http://www.enivaway.com/test/sword/silver.jpg

[StrongMedicine]

Where is the best place to buy the bags of $1000 face value pre 64 coins and how much should it cost including shipping/insurance?

[ephv]

Go here and follow directions. They explain everything. You can buy as much or a little as you want and sell it back to them at market prices. There is no commission or fees.

http://www.goldmastersusa.com/

[wileycsg]

[QUOTE]Originally posted by StrongMedicine
Where is the best place to buy the bags of $1000 face value pre 64 coins and how much should it cost including shipping/insurance? [/QUOTE

http://www.tulving.com/goldbull.html#specials

When I started buying precious metals in 1999 they had dutch auctions all over ebay. On their site there was a 2 oz min order. I see now they are up to a 20 oz min on gold! I've dealt with them personally for some fairly large orders. I've also seen them recommended on forums where people buy in the 100+ oz gold range. They do sell $1000 bags of 90% silver.

wileycsg

[Seventh Fleet]

For the latest up to the minute prices on gold and silver...

http://www.survivalblog.com/investing.html

7th

[55bird]

I'm a waiting for the end of GW Bush's term.I'd be happy to eat crow but it ain't gonna happen,Unless Iran sets it's nuke off.Then and only then Silver will jump that high and oil will skyrocket.

[juanni]

2 1/2 years ago new AMD 65 kits were going for about $100 delivered. I know. :biggrin:
Now they sell for about $250-$275 on Gunbroker.
With the new barrel ban they can only go up.

What was silver 2 1/2 years ago? About $4.50.
The kits are looking like a better investment.

.....juanni

[Seventh Fleet]

I agree that the kits are a good investment because I bought nice IMBEL FAL kits from Tapco for less than $100.00 and now what are they going for. Why not diversify your portfolio and buy both the kits AND silver.

7th

[Deltaten]

LOoks like I'll hafta go up and find my stash of pre-64 coins. JUst the odd Silver piece that ended up in pocket over the years. That, and a '65 or '66 Churchill commemorative; thing's the size of a saucer! ;) I think it's two ounces Sterling??
Shame I sold all those SIlver Dollars Dad saved for me way back when. Got double face value then..$2.00. What now?

Best,
Paul

[StrongMedicine]

Silver has backed off recent highs.

I just got a price from a dealer on some junk silver at $6.60 per face$. Seems resonable enough.

What prices are you guys seeing locally?
SM

[ephv]

Is that for 40% or 90% silver coins?

[StrongMedicine]

90%

[JR in the NW]

Up-up and away!

[Hades]

Looks like there's a little goldrush setting in here. I've come across 2 kinds of gold posts. Investment and last resort in a Mad Max scenario. First (since it's most on topic in this thread: investment. For argument's sake we'll just assume you have your life savings which you want to make money on and probably from time to time transfer some to your checking account to buy something nice you want.
If this is the kind of investment you're after, then gold, silver or any other commodity is not the way to go. Sure, we all heard the stories about those who got rich practically overnight by buying gold in the mid 80's. What you don't hear about are the people who hardly made any money or even lost huge amounts by buying and selling gold. If you were unfortunate enough to buy gold during the highth of the gold rush you may have bought at prices of 600+$/oz. That means that in the past 20 years you made an overall profit of say -50 to -100$. Not something to be particulary pleased about. If you bought after the goldrush (say some 18 years ago) you will have bought at say 350-400$. At the current price of 550$ as shown in this thread, that would come down to an annual interest of some 2 - 2.5%. That's hardly enough to cover inflation during that period. Buying now is about the silliest thing to do since there have been about 3 threads on this subject already and since goldrush is already striking, it's too late. Remember the mid-2000 rush on internet shares? Those who made serious money on internet shares didn't buy them in 2000. They bought them in 1999 or before. If you're realy into stable long term investments, then here's a few useful hints. If you're a young family, just got married and thinking of kids or already have a small kid, then buy a house. It increases slowly but steadily in value, mortgage loans are cheap and when the kids leave the house and you're ready to join the senior citizen club, you can sell it and take a smaller one and probably have enough left to enjoy a nice retirement (together with employer pension plans and/or other precautions you took for yourself). Whatever extra savings you have, you can invest in some decent funds. There's plenty of tastes available ranging from 0 risk to emerging market funds. Take a little of all and stay in touch with your financial advisor. When you feel like buying a new car or anything there will always be something you can easily sell off with a profit.
If you're after making a quick dollar then there realy is no reason to limit yourself to gold or silver. Any piece of paper is worth something and if you know what you're doing there will always be a quick dollar to be made. Especially since greedy people with little or no knowledge expect to make a quick dollar too. If you don't have the knowledge and want to invest: follow my previous advises. If you do have the knowledge and want to invest: do as I do and become a (day)trader. It's like robin hood: you steal from the greedy and you give... to whom ever you want basically.
I can only ask you fellow falfilers to use your common sense and not to become the victim of my kind. And if you realy have money to spare, then don't become a victim, just make a nice donation to your favourite charity rather than giving it away to some bastard who knows more about trading than you do.
Previous post was obviously not intended as financial advise and all the other legal disclaimers.... Just my private thoughts on the matter, and contrary to a financial advisor, they're free of charge :)


Edited to add: If despite my advise you should chose to invest in silver or gold, then don't invest in the tangible stuff (bars, coins,...). By the time your coins and bars are snugly in your safe it might already be too late to sell them again. And even if they don't arrive too late then there's a good chance that it will be too late by the time you get them back on the market to sell. You're better off buying options, futures or even shares in goldmines.

[Hades]

I also promised you to share some thoughts on the role of silver and gold in a Mad Max scenario.
I'm not a survivalist and I don't know much about the topic. But I can predict a few things that will happen in such situations. With regard to money it is quite easy to predict economy would fall back on a mercantile and barter scenario. For those who shouldn't know what a mercantile economy is, it's (in very short) an economy based on (the accumulation of) precious metals.
The first thing to notice about such economy is that "bad" money comes into circulation quickly and "good" money being stockpiled. "Bad" money being the kind of money most widely spread, "good" money being the most scarce money available. Assuming that in a mad max situation the discovery of new mines is not a factor (it often was in the course of history) the "best" money will probably be gold. The "worst" money will obviously be anything printed on paper with nothing but a face value (paper money, negotiable bonds,...). With this in mind it would make sense to have a some gold in reserve. Since you keep talking about the gold/silver stuff, I guess you already figured out for yourselves that holding on to paper money is not a good idea. But let's take it a step further. What would happen once the classic greenback lost all of it's value and you'd need a truck full of money to buy a bread? Obviously the next worst money would now appear on the market. Assuming cupper wouldn't become valuable overnight, this would mean your stockpile of silver would come in next. and pretty soon silver too will undergo the same faith as the greenback: you'll need 1/2 or 1/4 truckload to buy bread. What I'm saying is: if you're going to play federal reserve for yourself in preparation for a Mad Max situation, you're better off with gold. Also it's highly predictable that there will be "good gold" and "bad gold". The bad gold will be scrap gold (any gold items with no added value). Keep it for when your silver starts becoming "worthless". The "good gold" will be coined. There's no real reason to prefer any type of coin over another so keep some different types of gold coins (Krugerrand, Maple leaf,...) at hand.
Another obvious way of "paying" for your goods will be through barter. Some have sugested in other threads that bullets will be the new money. I doubt that, but they can be valuable in a barter. Your surplus stock of food is ofcourse the most obvious "money". What the new standard will be is difficult to predict. In post WW II Germany where paper money had the value of toilet paper, the new standard became cigarettes. There was even a primitive "banking" system based on cigarettes. IMHO it certainly wouldn't hurt you to include cigarettes and/or tobacco in your supplies. If you don't smoke them, they might still be handy in bartering.
just my thoughts on the subject. Hope they're of any help to you.

[Da Nerd]

Well HADES it looks like you are getting around to figuring out what SHTF means.
However if you go to some hard core survivalist sites, you will find you are way behind the curve.

However keep on studying the subject and you might catch up with the rest of us.

[Rawles]

HADES Wrote:
>...What I'm saying is: if you're going to play federal reserve for yourself in preparation for a Mad Max situation, you're better off with gold...

I beg to differ. For a worst case situation, silver makes far more sense than gold. As I pointed out in my novel Patriots, and have mentioned several times in my blog (http://www.SurvivalBlog.com), gold is too compact a form of wealth for barter. What good will 1 ounce gold Krugerrands, American Eagles, or Maple Leafs do you when you want to barter for a loaf of bread or a can of beans? What will you do--resort to using a cold chisel to dispense fractions of a coin? Not likely. Instead, I recommend keeping a "core holding" of bullion silver in the form of circulated U.S. silver (pre-1965) dimes and/or quarters. Those are readily recognizable and the right value per-unit for day-to-day barter.

[Kyrottimus]

As I pointed out in my novel Patriots, and have mentioned several times in my blog (http://www.SurvivalBlog.com), gold is too compact a form of wealth for barter. What good will 1 ounce gold Krugerrands, American Eagles, or Maple Leafs do you when you want to barter for a loaf of bread or a can of beans? What will you do--resort to using a cold chisel to dispense fractions of a coin? Not likely. Instead, I recommend keeping a "core holding" of bullion silver in the form of circulated U.S. silver (pre-1965) dimes and/or quarters. Those are readily recognizable and the right value per-unit for day-to-day barter.

Indeed. However, I do not have the type of income pursuent to making large Silver and Gold buys. Personally I'm sticking to a healthy mixture of Brass, Copper, Lead, Mercury and Nitrogen Cellulose (...ammo for those who didn't get it).

Now true, if I can afford ammo, I should be able to afford silver. Personally, I like the idea of having something I can use for barter, and use for survival if I needed to. .22 LR, 7.62x39 and .308 are my type of survivalist's silver.

I'm not dogging on Silver at all, I'm just saying it isn't for me.

[Hades]

Originally posted by Da Nerd
Well HADES it looks like you are getting around to figuring out what SHTF means.
However if you go to some hard core survivalist sites, you will find you are way behind the curve.

However keep on studying the subject and you might catch up with the rest of us.
Never claimed to be a survivalist. Never even claimed I want to be one. Just shared some knowledge I have about economy, money and it's history.

[1gewehr]

My experience has been that silver can always get you food, even in 3rd-world places where people are actually starving to death. The only thing that varies, is how much silver it takes.

The black market may not always work with ammo as barter. It ALWAYS works with silver and gold. Like Rawles points out, though, it is hard to buy a single loaf of bread with a 10z Krugerrand. Flashing a large gold coin can also make you a target, where a couple of silver coins would not.
1gewehr

[Rawles]

I just checked the charts at KITCO.com. Silver was at $10.62 per ounce. Wow!

The news wire services mentioned that the recent price run up has been because the first of two planned Silver Exchange Traded Funds (ETFs) was approved by the SEC. Now where are they going to find 130 million ounces of silver with which to back the fund? There isn't that much bullion on the open market. So it appears that the law of supply and demand is still in force...