Silver is dangerous, silver is volatile and silver is ready to float. When I say that it’s ready to float, I don’t mean literally. What’s going to make this precious metal float is all the “inflate-ion” that is happening across the globe. First lets start by looking at the United States of America. The national debt is a staggering $16,744,964,052,198.60. This number is scary, but what puts the icing on the cake is its increase of 3.8 billion per day. With a population of 314.6 million, that works out to be $53,220.88 for each citizen. In other words, you are born into debt. “It is health that is real wealth and not pieces of gold and silver.” This was said by a famous Indian philosopher, Mahatma Gandhi, who was internationally esteemed for his doctrine of nonviolent protest. Health is important, but you cannot afford to keep healthy in the United States unless you have some sort of medical insurance. How do we gain such insurance? MONEY! But over the years this so called money that you are earning, is becoming worthless, or should I say, less valuable. This isn’t just going to happen overnight, but in years to come, that loaf of bread that used to cost you $3.50 is going to cost you $8.00. A big problem we face is the stubbornness that people agree that things will always go up in price…we do not need to accept this theory! This is where gold & silver come into play.
For years, gold and silver have been a store of wealth. I like to call this wealth, hidden wealth. In recent, wealthy individuals have been able to change substantial parts of their portfolios into physical precious metals. Primarily this is happening in Swiss bank accounts. After the USA started cracking down on the offshore accounts, depositors decided to change their “number money” into physical silver and gold. This allows for the wealth and cash in their accounts to be completely hidden. This is the first sign that SHIT IS GOING TO HIT THE FAN. Now this isn’t the first country to start withdrawing gold from the US reserves. We saw Germany start their gold repatriation last month. Hint, buy and hold your gold now.
Silver and gold historically have similar trade patterns. So when gold is becoming more in demand, we can assume, silver will follow. The demand for gold is building up to all time highs. Mind you, I am talking about physical gold and not paper gold. When buying that piece of paper that says you have the right to own gold in the US reserves, this does not actually guarantee that you will always have the gold. Written on that little piece of paper, or the small print as we call it, says that the government may pay you cash value for the “paper gold”. With countries demanding delivery of their gold, the United States is starting to realize that they are in serious trouble. One day this whole paper gold market will crash. Although they say it will be worthless, you can still wipe your ass with it, so I conclude it’s not entirely worthless. This paper gold market was started so that market makers could efficiently control the prices of gold without lumping around thousands of physical ounces. This is great when the paper can be backed with delivery, but printing these receipts on future gold mines is essentially like printing money. Do not invest in paper gold!
This article was really meant to talk about silver, but silver isn’t globally watched by many to hedge their portfolios since you can buy so much for such a little price. Gold and silver will move together, that’s why I decided to talk about gold predominantly. I am not saying that silver is going to rocket to $125/oz in the next 5 years and you are going to get rich off of it, but there will always be a demand for this shiny metal. If you were to ask me today what I think silver prices will be in the next 5 years, I would give you a very conservative number. Personally I see silver sitting around $39 with highs of $45 and a low of $35. That’s only $2 a year!!!! Right now is just the start to this bull market for silver, and things are about to get hot. With Cyprus in trouble, Greece, Spain, Italy all on the radar and the growing inflation in all of these countries, it is undoubtedly the best position to be in considering the fear. There is going to be another HUGE wave of bank collapses and some serious runs on the ones that do make it through the fire. One last thing I would like to leave my readers with, What’s stopping every other EU bank from taxing their depositors and STEALING their money while making their currency also worth less all at the same time? Let’s Get Physical!!
Guest Post by: Jack Widmer
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