Investment Guy Said ...............
HiBucky
Posts: 592 ✭✭✭
Many people what their physical silver in hand and are demanding hard cold bars of silver instead of paper firms are getting worried .. Is this really happening are we finally going to see the increase in silver ? Should I buy more ?
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Comments
Didn't catch the name of your investment guy?
More information required, but nothing wrong with it little/lot of silver.
Buy what you like.
Hard vs. paper... two different games.... Hard silver will usually pull more cash. Paper trading is a speed game. Cheers, RickO
Need more info?
Are the investment guys worried because the amount of their business is starting to go down?
Are they worried because.. redemptions are being made and they cannot keep up with redemptions?
Is this a single investment guy who says this... or a member of a group representing many others?
Too vague of a comment to be able to make a judgement on it.
Sounds like this is an "investment guy" that sells physical silver. That has been the story going around for years as a sales pitch.
Physical and paper usually track. It's known and silver committments are known weeks or months in advance -- there are no surprises.
Silver is NOT an "investment" -- it's a speculation.
I would agree, but I would also add that there is no such thing as a "retail investor". In reality, they are "retail speculators" (at best, and "retail chumps" at worst).
If you buy a stock because you think the stock price will go up and you can sell it to someone for a higher price later, that is pure speculation, not investing.
If you buy a company (like Warren Buffet does) to actively manage it and turn it around, that is a true "investment".
But hardly anybody does that.
That new car you are buying is an investment……..just ask the salesman😂
Martin
"The Definition of Speculative Investments Speculative investments are long-term investments rooted in a thesis that’s not currently provable – but could become provable in the future."
I buy/sell silver and gold. Metal roofing is a better investment. It protects your home for life. Worry does no good. It serves no purpose. It scares people. That's what keeps the wheels of bad investments turning.
Cold hard cash or bars ( silver & gold) only show off one's wealth. Hide that ____.... Or put it to work for ya.
Believe what you want but the big guys are saying 2023 will be a horrible year with a recession. With that said I see the silver going down. It seems to follow the economy. No hedge against inflation with silver so don’t believe that. I’m in it for the long term but now I’m old as dirt and will sell my silver very soon. I’m sitting on a pile too. I wish it would go up but I just don’t see that happening looking back at the history of silver, physical silver when the economy is bad like it is right now.
I hope I’m wrong but that’s the way I see it. Good luck with your endeavor,
Joe
I prefer my pension over metals, 401k’s, stocks, bonds, etc. If it wasn’t a “good enough for me” monthly allowance (pension) I most assuredly would mess it up and be totally screwed.
No doubt the standard sales pitch of the physical gutter salesman. Theres a new class every few years and they sucker em right on in. RGDS!
The whole worlds off its rocker, buy Gold™.
At least that car has purpose. It commutes you to and from work where you earn an income. Physical gutter just sits and picks up the nasty. No better than hoarding cash under ones mattress. Worse actually, the cash has demand. THKS!
The whole worlds off its rocker, buy Gold™.
You have stated previously that you own silver "paper and physical".
Are you one of the "suckers" ?
I got a warning from the moderator for saying “sucker” next time I’ll say “common sense challenged”.
About the only way left for the FED to deal with inflation is to ratchet up interest rates. That will hammer gold and more so silver. Beware of 'fear' salesman at this time.
About the only way left for the FED to deal with inflation is to ratchet up interest rates. That will hammer gold and more so silver. Beware of 'fear' salesman at this time.
There's a school of thought that the Fed has no interest in controlling inflation, or it would've been controlled by now. One thing is for sure - there's a huge amount of mismanagement going on.
I knew it would happen.
What "school" is this? And why the conclusion that inflation would have been controlled by now?
Knowledge is the enemy of fear
Maybe Wharton
https://budgetmodel.wharton.upenn.edu/issues/2021/10/21/can-inflation-offset-government-debt#:~:text=Can Higher Inflation Help Offset the Effects of,tax rates discourages capital formation. ... More items
Not really, but....
Interesting article. The overall net effect seems to be negligible.
To jmski's comment though. Those who think inflation would be controlled by normalizing interest rates simply don't understand inflation. Rates have only been higher for about 6-8 months. The first 200 basis points of increase are inconsequential.
We, the people, could control inflation if we controlled our spending habits. But we are weak.
Knowledge is the enemy of fear
Every investment guy I met was a huckster.
I don't think that is really a contributor to inflation. Wage-price spirals are something individuals are more in control of through collective bargaining (unions) and that was clearly out-of-control in the 1970's.
But spending per se is not something that is the control of individuals. In the AGGREGATE, yes, that is what the Fed is trying to reign in -- slow aggregate demand and raise unemployment to slow the economy to depress wages and prices.
It's inexact and that is why there is so much controversy and angst (see, Sen. Warren's latest moaning
)
The biggest "hucksters" are in the PM trade but that doesn't mean that investing/speculating/collecting gold/silver are necessarily a bad thing.
If you were talking about regular financial professionals the category has improved light-years in accountability and transparency since I started in the business almost 40 years ago.
Perhaps true, perhaps not. Ok.... let's stop buying groceries, gasoline, electricity, gas and electric vehicles, clothing, land and real estate, heating our homes, clothing, medical services, dental services, ammunition, internet services, electronics, furniture...... etc etc.
Yeah, we can cut back on eating out in restaurants and vacations, etc. But.... we still have to live. There is only so much that "we the people" can do.
And then... there is the gigantic elephant in the room. Will it really matter if the American people become austere... when government prints/throws money helter skelter? Trillions and trillions of dollars? (This is NOT trying to turn this into a political discussion... speaking hypothetically and not referring to any specific administration... they are ALL prone to this).
I wouldn’t expect a banker to admit any responsibility for inflation when his livelihood depends on the banking system.
I knew it would happen.
I’m > @HiBucky said:
I personally would buy the SLV etf commission free … over hard silver bars or coins …those expect to pay a premium
https://www.marketwatch.com/investing/fund/slv
Never been in the camp that the sky is falling
I give away money. I collect money.
I don’t love money . I do love the Lord God.
Look around your house. See all the trinkets and dust collectors laying about. That's $1000s of dollars of junk that goes to Goodwill or the dump on your passing. Now think about the $1000's you've spent on gifts that just about other people's houses or closets. 99% of that crap made in China. Now think about the $1000's you spent on snacks or smokes or other crap over your lifetime. That adds up to 10s if not 100s of thousands of dollars over ones lifetime. Yet we complain about not having money. We had the money, but we decided to part with it.
You want more money, then stop spending it.
You wanna destroy the banking system, then don't use it.
We always want to blame others, but never ourselves. Such weakness.
Knowledge is the enemy of fear
" You want more money, then stop spending it. "
It all comes down to.... self reliance, self discipline, and accountability for ones own actions. All sadly lacking in this 'gimme gimme gimme " world today.
How do you know that ? Where’s the camera ?
I've been out of SLV for weeks. Get with the program. I'll buy back in after the upcoming dip. It's simpler than even basic science. EZ!!!
The whole worlds off its rocker, buy Gold™.
Spending for essentials and necessities is ok. I agree about houses and garages full of junk obtained by discretionary or unnecessary spending. In retrospect, I have a lot of stuff that I wonder why I bought it. Must have been a good idea at the time.
Bankers have pretty much nothing to do with inflation; you MIGHT have a case with Federal Reserve officials if they are asleep at the switch like Arthur Burns and G. William Miller in the 1970's.
Bankers have pretty much nothing to do with inflation
Clearly, we disagree.
I knew it would happen.
Not just you and me, but you and every financial professional and economist. Bankers have as much to do with inflation as asphalt layers. You might "blame" credit cards since they probably augment/increase total spending but unless you're against credit cards and want to ban them I don't know where that goes.
We have 5,000 banks plus hundreds of credit unions plus dozens of other financial companies and fintechs. It's a super-competitive business with lots of risks but one essential to the functioning of a modern economy.
Please explain how being able to loan out money (and collecting interest on the loan) with no reserve requirement does not increase the money supply and add to inflation.
Not every "financial professional and economist". The ones who are dependent on the system for their livelihoods, yeah - they love the arrangement and will always talk it up.
Bankers love debt. It's self-evident. And the money they lend isn't theirs. Que sera sera, but don't try to pretend otherwise.
I knew it would happen.
I mentioned this in a different thread ...
Perhaps you can comment on the effects to the economy when the Federal Reserve Bank issued 56,000 metric tons worth of gold-clause notes from 1914-1933 when they had virtually no gold themselves and the US Treasury held only 6,000 metric tons of actual gold (which was already over-subscribed somewhat by the US Treasury Gold Certificates in circulation).
Here we go ... SVB Failure is the beginning. The silver and gold run is starting. Banks don't have enough money. Accounts are only covered for $250,000. This is coming to a bank near you.. Things are great but behind closed doors they are in a panic. Biden is walking in circles ... We don't have a chance when 90 of the people associated in the White house never had a job.. They are free loaders telling you guys everything is all good.... People will lose millions if not billions only because they placed their money in the SBV .........Silver Run is on ...
90% NOT 90
You continue to come up with this "no reserve requirement" which is a Flat Earth falsehood. Banks hold various reserves based on the risk of the asset in accordance with Fed, OCC, state, and Basel III regulatory requirements.
The money banks lend IS theirs -- their capital -- plus depositors money. That's the definition of a bank.
Sure.....we always knew there wasn't enough gold to pay off EVERYBODY who had a claim on gold. Just like a bank can't make every depositor 100% whole if they come in at the same time.
The gold standard (which I am NOT in favor of) is a promise regarding fixed inflation-adjusted NOMINAL currency values based on the value of gold....it was NOT a promise of 100% payment in gold or gold coin.
Got any sources ????
SIVB had 95% of deposits OVER $250,000......the average bank is about 2%.
You understand that difference ? It spells H-O-T M-O-N-E-Y.
I agree with you on the financial incompetence of the occupants of 1600 Pennsylvania Avenue but unless they make error after error....banks are well-capitalized to make this a 1-off.
So the Federal Reserve knew full well that they were massively cheating on the gold standard when they issued 56,000 metric tons worth of gold-clause currency notes with no gold backing at all. It wasn't even a fractional-reserve situation. It was a zero-reserve situation. This was absolutely inflationary in the classic sense (a massive increase in the money supply) and the Federal Reserve Bank was fully responsible for that inflation. When other parties in the know (such as European banks) began to withdraw gold, it lead to the Great Depression.
PS:
"Redeemable in Gold", "Payable in Gold", or "Payable in Gold Coin". That was printed right on the currency notes and bonds. That was a promise made by bankers, a promise they had no intention of keeping.
Don't forget the "ON DEMAND" part. Another broken promise by the government. Nothing new.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Was anybody turned down before FDR ?
What inflation ? There was DEFLATION after 1926.
The Great Depression wasn't created by gold withdrawals. Gold changes were a reflection of the underlying changes in economies, not a cause.
We don't have much longer to wait... to find out if it is in fact a "1-off" event. I have no predictions, but if things do dive, gold and silver may follow suit, if assets have to be sold to cover losses, etc.
I think the CPI and PPI releases are more important this week.
What was the Price of Gold before this? Hint see next post ($28.50) What was the Price of Gold after this? Hint $35.00
Hummmmm interesting sleight of hand.
Gold was $20.67 per Troy ounce until it was raised to $35 in 1933.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire