Gold $1,020.00, Silver $21.00 can it be?.

I looked up that issue a few years ago. In 2005 about 2,500 tons of gold was mined and the demand was 3,500 pounds. Silver is similiar...the demand is more than the supply.

I once read a piece that claimed that all the gold ever mined would fit in a cube 40 feet on a side....now that is rare.

 

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GX . . . What in the world is wrong with investing? Anybody even the newest to buying silver can quickly find out that buying silver is no scam. This is not the Hunt brothers buying frenzy. With the advent of computers and building of other electronics items, silver is not only in demand but the demand is going to continue to grow. There's only so much silver being mined and it's less than being used. Besides, what's wrong with investing in a precious metal especially if it's in coin bullion? If you have such a personal hate for the collecting, then don't collect it. Then when silver drops in price . . . you can laugh at all us collectors, while we just look at all our worthless coins and cry. :headbang:

 

I make it clear Haleiwa, I don't have issues with investment. In fact, it's a great opportunity to make money. The REAL issue is how information is presented and how it's suggested as good buy where it's not. The subprime mortgage is a good example. You just don't promote demand and ignore the supply side or the other way around. Disgusting to no end.

That said, your example of where silver is used in electronics is a good example to demonstrate where a big demand is coming from. What ticks me to no end is how people assume that the production rate of minerals is at a constant rate. In reality, that's not the case.

 

I thought this was common knowledge to silver collectors and didn't think it needed repeating: http://www.silverinstitute.org/supply/index.php

 

its also a known fact that the big MNC's will not allow silver to rise beyond a certain point it will hurt their bottomline

 

gold and silver

gold and silver up a little bit today.

 

silver overtake platinum

as of this time, silver is overtaken platinum this year as the best investment for collectors.
silver up 25.00% ($14.76 to $18.45) since dec.31,2007. platinum up 20.39% ($1,530.00 to $1,842.00). followed by gold up 15.74% (from $833.75 to $965.00). the last is palladium. up 15.38% (from $364.00 to $420.00). gold also overtaked palladium.

if we count this year high. then palladium once top them all. up 65.11%. followed by platinum up 50.46%. then silver up 44.31%. while gold up 23.36% only.

note: data will change. since prices keep moving.

 

gold and silver up again

gold at $970.00
silver at $18.50

 

gold reverse its course

gold and silver reverse its course due to oil down. anyway the gold and silver still up against dec 31, 2007:

silver up 22.02%
platinum up 17.58%
palladium up 14.56%
gold up 13.61%

 

I was thinking the Silver Institute was against the SLV ETF "which is to protect the price of silver not increase it". The ETF "SLV" currently should have over 3 Billion dollars of silver.

 

gold production

world gold production in ounces:

china - 9,700,000 ounce
south africa - 9,528,000
u.s.a. - 8,927,000
australia - 8,842,000
indonesia - 6,009,000
peru - 5,923,000
russia - 5,322,000
canada - 3,262,000
others - 28,242,000

total - 86,055,000

 

Profit taking:

 

I think you meant to say "tons". And I'll also assume you meant metric tons.

1 metric ton = 32,150 troy ounces

2,500 metric tons = 80,375,000 troy ounces of gold mined in 2005 (using your figure)

3,500 metric tons = 112,525,000 troy ounces of gold consumed in 2005 (using your figure and changing pounds to tons)

That's a shortfall of 32,150,000 troy ounces of gold in one year. Some of that shortfall is made up from reserves, recycling, melting scrap jewelry and Silvertowne melting First Spouse coins .

If your figures are correct and demand exceeds new supply by 40% we can probably expect to see gold prices continue to rise - until more supply (from new mines or old mines being dusted off) comes on line.

 

there isnt any shortfall of gold the top 10 countries of the world have enough reserves should they begin to sell and the us tops the list there is a great table that i cant get my hands on right now (terrible and troubling times) but you should be able to find it no problem

 

The gold and platinum proof sets were on heritage this week! :kewl:

 

I agree. But the gold does not become available until it is released from the reserves.

Then again, as the price goes up more of that gold gets released (increasing the supply), which helps to moderate the price.

 

there is where the problem begins and ends creating artificial scarcity by hoarding

 

http://www.iii.co.uk/news/?type=afxnews&articleid=6819299&subject=markets&action=article

 

metal downed

compared all time high from today low:

palladium downed 36.94% -- $ 601.00 - $379.00
platinum downed 25.46% -- $2,302.00 - $1,716.00
silver downed 18.78% -- $21.30 - $17.30
gold downed 10.78% -- $1,028.50 - $917.60