silver? gold?

do you think gold is a better investment than silver or silver a better investment then gold???



thanks, bOb

 

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As a hedge, I like a combination of them both, but am slightly more bullish on Gold.

 

Probably silver. Nobody knows for certain. But silver is consumed in various industrial uses, while gold is used primarily as jewelry. A couple of years ago a US Geological Survey forecasted that silver will be the first major industrial metal to be completely mined out in another few decades. If this is correct, it will be very very good for silver prices. So I think silver has more upside potential on a percentage basis. It's probably a good idea to own some of both.

 

The market for which will keep enlarging as China's economy comes out of the Third World.

 

I remember my parents buying 18 K gold jewelry when we lived in Buenos Aires as a hedge against a very unstable Peso. At that time you would have to spend the money as soon as you got it or buy gold. And I think it's still that way in some countries, maybe they don't buy gold jewelry know but gold coin bullion instead. Maybe in places like the middle east. As for silver one of the bigger industries to use silver was in photo film. But know digital cameras are in.

Lou

 

I think that gold is as good of an investment as silver is. Both of them have plenty of room to rise in value and are predicted to do so according to Scott Travers. I guess it depends on how much faith you put into predictions but Mr. Travers didnt get to where he's at today by being wrong.

 

just checked on the overseas market. gold is pushing $670 and ounce silver is almost $14 and platinum is almost $1200 . starting off good but as ya"ll know it can change in a heartbeat. Still looks good coming off fridays gains.

 

Roy mentioned China and it's economy enlarging. But let's not forget India with their economy on the rise. India prefers silver to some extent from what I have read.

Lou

 

Historically, the gold/silver ratio had hovered around 1:12, until the last century. Currently, the ratio remains around 1:50. If you check out the Kitco market closing prices for any given week, notice that whenever the price of gold rises, the price of silver rises more percentage-wise, with few exceptions. Yes, the downside is greater, although IMO, silver has much more upside potential than gold.

http://www.gold-eagle.com/editorials_03/sanders030703.html

 

I tend to think that because of this unusual gold-silver ratio that either silver is undervalued or gold is overvalued. In either case, I put the lion's share of my investment in silver and base metals. I do not count the base metals like copper and nickel out. For an investment of... say... $650 you can lay in one ounce of Gold, or one and a half pounds of Indium, or four pounds of Silver, or thirty five pounds of Nickel, or two hundred pounds of Copper. Gold is easier to carry... if you have to go on a trip for instance and want to have some fall-back money in case the world falls to pieces while you're away. Gold is also much easier to steal. Copper, in (for instance) the form of bags of wheat cents, can be stored quite easily in boxes in a cupboard or under a bench, and generally does not require the expensive security precautions that gold does.

 

I have seen many mentions of this and while it's historically accurate it fails to account for the truly large amounts of silver discovered in the 19th century, most notably the Comstock Lode in Nevada; silver was relatively scarce in the "old world".

While I don't have the numbers here, it makes sense that if the silver supply quadruples, the silver to gold ratio should also increase.

 

Although I own none, if I had money (which I don't - I'm in college) I would invest in some palladium. This metal is being used in a lot of industrial things and what not (I'm too tired to come up with more technical terms) but I'd give it a shot at least. Between gold and silver, I like silver since it's cheaper and less of a risk in that sense plus I think it has more non-jewelry uses than gold. While I'm at it, I'm pretty stumped when it comes to platinum. I've heard people forcast great and horrible things for it so I'm a little nervous about purchasing platinum.

 

That is what I have read, and they are buying up everything in sight.
Perhaps we should follow their lead.

 

I should have been more clear. Gold used in jewelry is recoverable. Silver used in many/most industrial applications is not because the amount in each item is too small to make it economically worthwhile unless and until silver prices drastically rise. To me this is an important factor in favor of silver.

 

They don't try to buy up everything, its just because Indians like to invest their savings in gold (I think about 25% of all gold demand is from India), not in savings accounts for some reason... and tradition - any occasion involves gold jewellry and silver utensils... there are pots made out of pure silver - it has to come from somewhere! There are temples in south india which have the entire roof made out of gold leaf...
If you think of it, gold has been the one of the safest long term investment (long term = ~100 years), you never know what could happen to your currency!
To stick to the post though,both should be bullish, but silver probably more so in the long run, considering the more practical use aspects.

 

Gold is used in industry also. why is only silver being mentioned here as an industrial metal? Gold is used in a lot of circuitry. an unrelated note: diamonds are used industrially. in the drilling industries, drill bits are coated with diamond dust.

 

If one looks at the quantities used industrially... about 75% of all silver is used industrially, only about 15-20% of gold is... So while gold prices depend more on jewellry demand and investment demand (eg inflation hedges), silver has the industrial demand aspect also linked to it. Of course, if some new products require massive amounts of gold, this could change...

 

Ag ...

 

Au...

 

I'd vote silver.