Gold over $700.00

can silver catch up with the gold. if the gold- silver ratio is just like before 16 to 1. the silver should worth $43.75 per ounce today.

tell us how you can predict the silver?.

 

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Maybe it means that gold is too high and silver is correctly valued. Possibly gold should drop back to the 200 to 250 range. 16 to 1 is a meaningless ratio anyway.

 

I don't think silver and gold should be tied to each other. People in countries that are getting wealthier, want jewelry made of gold, not silver. I can see the price of gold being supported and increased for a long time. Silver is already being weakly supported and I wouldn't be surprised to see it just tank. Gold is the way to go....

I used to be a silvrluvr...but that is changing and I'll need a new username very soon...LOL

 

In today's society, the 16:1 ration is meaningless and has not even been approached in the recent past.

from 1999 to 2005 the worldwide use of silver has dropped by about 30 % in the photographic industry. That drop equates to 10 % the worlds total annual consumption of silver. There is still another 20 % of the annual production used for photography. Anyone want to guess how long it will be before that number is essentially 0?. Until that happens, the price of silver is going nowhere fast.

 

Hi Elaine,

The others make good points. There's a lot of thought that the historical ratios don't really matter today due to a lot of supply/demand issues. Personally, I disagree. Historically, the ratio has been 1:15-20. Right now it's 1:55 with a high last year of 1:75 or so. During the great bull market of the last 70's, gold peaked in 1980 at ~$850 while silver peaked at ~$50. Note that this was a two fold increase for gold, but a TEN fold increase for silver. And the peak ratio was . . . . . . 1:17.

All this said, who can really predict when, how much, etc. I sure can't. I can put my best guess on things and invest accordingly - and that's about it. So, I'm overweight silver relative to gold in my investments.

good luck,

rono

 

Silver peaking at $50 in 1980 is totally meaningless...Hunt brothers....Dealers would only give you $35/oz. because the market was so volatile. There's a zillion times more silver in the ground than there is gold....

 

got any leads on places to dig?

 

No. But I think more silver comes out of the ground when people are looking for copper....

 

How many zeroes in a zillion?

 

A zillion.

 

That many huh?

 

Not that many, but quite a few...LOL

 

My 10 year-old son knows the biggest number: googol infinity.

That's googol to the infinity power.

 

Googlplex (1 followed by a google zeros) to the infinite power would be much larger, but still nowhere as large as infinity to the infinite power!

 

While there may be many fortunes worth of silver in the ground, the vast majority of it requires chemical extraction rather than actual mining. It will take a continued increase in the price of silver to justify more and more complicated methods for extracting it.

 

silver:
WILL go Up, down or stary the same.

That is the best ahtt I can do.
(kinda the same with gold).

 

I'm not sure, but there must be a zillion of them.

OK: I answered this before reading on and seeing that others beat me to it.

 

Actually, anything to the infinity power would all be equal. Infinity. So a googleplex to an infinite power would be the same as 2 to the infinite power. The only difference would be zero or one to the infinite power. Those two would still be zero and one.

 

It looks like silver has outperformed gold percentage wise so based on that it has been the better investment.

 

Yes, but an infinite sum does not always equal infinity.

Who ever can tell me why (I know why) wins a pat on the back.