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Message:: [QUOTE="10gary22, post: 1331125, member: 23626"]According to the Nevada Mining Assn, the cost of production of an ounce of Silver is $7.51.We've seen fluctuations of 25% in just recent months. Demand is off, and you don't see signs of a bubble ? Interesting. Of course, I remember well the 60's, 70,s, 80s and 90s. Invested in PMs my entire adult life whenever money was available to do so as well as real estate. Markets change and they can do so overnight. PMs are underfubnded and the market is easily manipulated. a huge sell off, leaves a bunch of guys making margin calls, like we saw in the last couple of weeks. Sure it's good right now, but there are no guarantees. Potential is generally offset with risk. I have made money and taken some big hits. It happens. Quite easily, I purchased a lot of gold at a point in time and when circumstances required that I sell it, the market was about half of what I paid. There is no guarantee that the price will hold. Just recently we saw silver fall from $40 to $28. Someone buying at 35 and forced to sell at 29 has taken a 20% cash loss. What can I say, it happens with all commodities. You can really get beat up on margin calls, because the leverage can double your exposure. The thing about margin calls is that the stuff can get sold out from under you, even if you make the call. I learned that with stocks, the hard way. I never bought PMs except to take immediate possession of them. All I can say, is that I am glad I had them when I absolutely had to sell. It kept my family going for a time until I could get things turned around. This is not the first recession I have weathered. There have been at least 3 major downturns in the last 45 years that affected me. A couple of them were tough. It's a recession when your neighbor cannot find work, it's a depression when you can;t ![/QUOTE]

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