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<p>[QUOTE="RaceBannon, post: 1140023, member: 25357"]<i>Like gold, silver benefits from the perception that irresponsible central bankers are intent on dooming paper currencies – a view that endures even as policymakers in Europe consider rate hikes and the Fed approaches the end of its unpopular bond-buying program.</i></p><p><i>But unlike gold, silver trades in a relatively thin market where prices are apt to spike when sentiment is positive and plunge when it isn't.</i></p><p><i>Even at the elevated prices prevailing now, the annual output of global silver mines is worth just $27 billion or so, says Winmill. That's the size of a good-sized but certainly not giant public company, such as, say, Dell (</i><a href="http://money.cnn.com/quote/quote.html?symb=dell" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://money.cnn.com/quote/quote.html?symb=dell" rel="nofollow"><b><span style="color: #004276"><i>DELL</i></span></b></a><i>). That means there is a small doorway for a huge number of people to squeeze through when silver gets hot.</i></p><p> </p><p>I cut the above excerpt from an article on Fortune magazine. I think it captures some of the reasons behind why we've seen silver explode recently. Of course the down side is that silver can drop just as dramatically. Bullion investor beware!</p><p> </p><p>Here's a link to the article, it's one of the better articles I've read on PM investing.</p><p><a href="http://finance.fortune.cnn.com/2011/03/28/fools-silver/" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://finance.fortune.cnn.com/2011/03/28/fools-silver/" rel="nofollow">http://finance.fortune.cnn.com/2011/03/28/fools-silver/</a>[/QUOTE]</p><p><br /></p>
[QUOTE="RaceBannon, post: 1140023, member: 25357"][I]Like gold, silver benefits from the perception that irresponsible central bankers are intent on dooming paper currencies – a view that endures even as policymakers in Europe consider rate hikes and the Fed approaches the end of its unpopular bond-buying program.[/I] [I]But unlike gold, silver trades in a relatively thin market where prices are apt to spike when sentiment is positive and plunge when it isn't.[/I] [I]Even at the elevated prices prevailing now, the annual output of global silver mines is worth just $27 billion or so, says Winmill. That's the size of a good-sized but certainly not giant public company, such as, say, Dell ([/I][URL="http://money.cnn.com/quote/quote.html?symb=dell"][B][COLOR=#004276][I]DELL[/I][/COLOR][/B][/URL][I]). That means there is a small doorway for a huge number of people to squeeze through when silver gets hot.[/I] I cut the above excerpt from an article on Fortune magazine. I think it captures some of the reasons behind why we've seen silver explode recently. Of course the down side is that silver can drop just as dramatically. Bullion investor beware! Here's a link to the article, it's one of the better articles I've read on PM investing. [URL]http://finance.fortune.cnn.com/2011/03/28/fools-silver/[/URL][/QUOTE]
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