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<p>[QUOTE=&quot;medoraman, post: 7474762, member: 26302&quot;]Same trope trotted out all of the time by the PM pushers.</p><p><br /></p><p>First, PM has not always been valued by humans. It was taught behavior, with the religious aristocracy wanting gold for ceremonies and costumes, and this demand &quot;taught&quot; neighbors gold was valuable. It started in the fertile crescent and expanded outward the idea gold or silver was &quot;valuable&quot;. It got reinforced by coins when they were invented because gold and silver happened to be a good metal for them in terms of value and resistance to corrosion.</p><p><br /></p><p>Second, call their bluff on the CME. Think its phony? Then buy a contract with cash up front and take delivery. All markets have things called &quot;basis risk&quot;. This is the difference between market prices and cash prices where you are. Many times its the opposite of pm, and the basis risk is the local price you receive is LESS than the market price, since yours is here and the market is a certain form many miles away. If anyone does not understand this aspect of commodity markets, please take a class. Without this understanding of how ALL commodity markets work, you are simply speaking out of your (not your mouth).</p><p><br /></p><p>The comparison to lumber has always been able to be made. Even when lumber was cheap, a 16&#039; 2x12 cedar board has ALWAYS been worth more than an ounce of silver. So what? Are you going to use silver to build your deck? A good filet mignon from a steakhouse is more expensive as well, are you going to eat silver instead? I am just pointing out the irrelevancy of the argument.</p><p><br /></p><p>Not directed at you OP, thank you for posting. Just providing some critical comment. The same stuff has been said over and over ad nauseum by the PM pimps for decades.[/QUOTE]</p><p><br /></p>

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