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<p>[QUOTE=&quot;jolumoga, post: 1649020, member: 41780&quot;]I have to admit that for a while I started doubting my investment in silver, given the negative outlook for the metals in this forum, but I&#039;m starting to see that coin collectors are not necessarily very knowledgeable about economics nor have any special insights into monetary policy that put people like Peter Schiff, James Turk and Ron Paul to shame.&nbsp; I think bullion investors and numismatists generally have different perspectives, with bullion investors somewhat more skeptical about the strength of the current monetary regime than the hard-core numismatists.&nbsp; </p><p><br /></p><p>I think we are all complex computers that have the ability to organize and filter massive amounts of data, and given our limitations do not have very good predictive powers generally -- though some may excel more or less relative to others.&nbsp; So, while I take what people say in numismatic forums seriously, I also have to take into account the sentiment about the economy at my work as well as headlines such as the one I posted above.&nbsp; Right now, coworkers of mine are talking about how prices are going up for food and gas.&nbsp; These are guys who make a decent income compared to many Americans -- not exceptional, but they are flush with cash.&nbsp; So, they are experiencing first-hand the debasement of the U.S. dollar.&nbsp; This is interesting to me because Peter Schiff recently debated a stock market analyst on CNBC and asserted that the talk at the break room at work will be gas prices and not the Dow hitting 14,000.&nbsp; I must say that at my workplace Peter Schiff is on the mark.&nbsp; This may not be true of all workplaces, but it&#039;s what working-class Americans are discussing.&nbsp; </p><p><br /></p><p>I personally do not see gas and food prices going lower long term.&nbsp; I believe there is a strategy of debasing the currency to make it easier to pay off the national debt.&nbsp; This is not the perfect solution, but it will prevent the deflation that some believe is coming.&nbsp; I see gold and silver as in the same general category as agricultural products and oil.&nbsp; So long as debasement is occurring, gold and silver will continue to make annual gains.&nbsp; Let me emphasize, as well, that these gains will not be, nor can be, linear.&nbsp; This is the fallacy oft-repeated in this forum: there is the assumption that if the short-term prices of metals deviate from the money supply there is no correlation between them, when in fact such near-term deviation is precisely why some believe the metals are currently undervalued.&nbsp; In addition, the monetary policy is not likely to change for the rest of this decade.&nbsp; </p><p><br /></p><p>I mean, silver has dropped barely below $30 per ounce and some are cracking the beer open and declaring the bull market over.&nbsp; Yet a little more than a decade ago the price of silver was one-seventh of what it is today, despite the correction.&nbsp; The commodities bull run is not over.&nbsp; </p><p><br /></p><p>I&#039;m going to agree with Max Keiser that the real bubble right now is bonds.&nbsp; And I will wager that some numismatists have their money in bonds right now.[/QUOTE]</p><p><br /></p>

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