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Gary O
Guest
I am about to buy these two precious metals and would like to know what conventional wisdom dictates as to what the ratio is in dollars, gold vs. silver. Thanks...
Throughout history Gold/silver go up when a currency is being devalued and money is printed at an accelerated rate.
When your govt. says to buy gold to protect yourself from the Fed printing press you better listen.
We are 14 trillion in near term debt and over 50 trillion med. term debt...do you really think they will stop printing and let the country default outright? It's hard to get re-elected when you do that Lol. Wash-rinse-repeat. The printing/devaluation has just begun to go parabolic and there has never been a better time in history to protect yourself from your own government that says publicly:
“The United States can pay any debt it has because we can always print money…So there is zero probability of default.” This was Fed head Alan Greenspan on NBC’s Meet the Press.
Gold is in a 5000 year bubble but your dollar has already lost 90% of it's value in just our lifetime. My kids laugh when I tell them about the "Penny Candy Store" we used to go to as kids.
Looks like silver will try to catch up to the historical 15 or 20 to 1 ratio eventually but beware if the stock market heads south gold and silver will be sold off hard again as the big players sell it to raise capital to meet margin calls on their falling stocks like last time. If the overall stock market doesn't crack (the Fed mandate allows them to buy stocks to keep the Ponzi scheme going) my guess is gold $2250. next year then on to $2500./ounce and onwards for 2013 as China continues towards a gold-backed currency and the dollar sinks further being backed by nothing but increasing and compounding debt. If interest rates were normal we would not be able to pay our interest payment each month so the Fed has to keep rates at historic lows to stay solvent(Ponzi would be proud Lol.)
The smart metal pundits are saying silver should eventually outperform gold by a wide margin... and remember gold/silver isn't going up BUT the underlying currency is going down which is hard to wrap your head around till you realize an old silver dime still buys a gallon of gas like so long ago. How much gas does your new fake dime get? This market doesn't favor the young as history has not caught up to them yet.