Silver bubble?

derryb

I think not:

HalfStrike

derryb you can't use 1980 as a starting point, that is ridiculous. This is why silver was in a bubble, because of crooked charts like this.

derryb

<< <i>derryb you can't use 1980 as a starting point, that is ridiculous. This is why silver was in a bubble, because of crooked charts like this. >>


So, you're saying silver is/was recently in a bubble?

streeter

there are THREE types of lies

lies
damn lies
and statistics

that chart proves this true. Only a matter of months apart on those silver stats would take you from $5 to $50. That would be 1000%.
Sorry Derry, that chart is not worth the pixels it's shown on

razzle

A lot of commodities were inflated in 1980, not just silver. Housing and gas are two that come to mind. I don't think this chart would change a whole lot regardless of start date.

ttown

<< <i> you can't use 1980 as a starting point, that is ridiculous. This is why silver was in a bubble, because of crooked charts like this. >>



It's a lot better than most as an indication IMO. Silver was used in circulation coinage until 1969. You couldn't own gold until 1974. The PM markets were controlled until that time. Maybe you'd like to see a chart of 100 or 200 years that it was controlled to would that make you feel better?

You want to see a screwed up stat, look at the DOW average that throws the dogs and bankrupt companies out and replaces them with high flayers. It's not like the average is based on the same stocks over time.

Baley

we see a chart showing the relative price change in a group of asset classes, but what's that giant bar in the middle that represents an abstract and doesn't belong in this group of statistics? and what's with the hand-picked date range? Anyway, the goverment bought something with that money, sure, wasted some, but invested much.

as for silver bubble, we'll see, we'll see. its reputation is tarnished for now. buying opportunity or bull trap? time will tell. I still own some but not adding yet.

HalfStrike

The year makes a huge difference, let me just compare two years to give the other side.

1990 to 2010 using the numbers on that chart.

Federal Government debt

1990 3 trillion
2010 14 trillion

percentage increase 367%

Silver

1990 $4
2010 $40

percentage increase 900%

Silver drastically inflated higher than the national debt from 1990 to 2010, 900% to only 367%.

See how easy it is ttown?

percyb

We've seen the $35 mark before on the way up and we thought it was expensive.
Stick around. I'm calling silver to go much much higher. We're only warming up, despite the weekly pull back. Pull backs use to take months, and now they happen in a week.
Hang on.

roadrunner

What I find most interesting in that chart is that few of those prices are close to the CPI predictor since 1980 which would suggest a price change of around 2.5X.
Of course we won't mention that the CPI was massively altered in 1983 as well as in the 1990's and beyond.

Gold hasn't even come close to getting to the 2.5X number. And if we use the peak prices in 1980, neither has silver.

roadrunner

gsa1fan

How can you chart any thing if they(talking heads) keep changing the rules?

derryb

<< <i>How can you chart any thing if they(talking heads) keep changing the rules? >>


We've got rules?

ChrisRx

Wow, a 30-year old starting point. I am sure you can use almost anything with a 30-year starting point and talk about a "bubble."

Baley

yeah, let's graph the 30 year change in life expectancy, relative health, freedom from pernicious diseases, access to information, choices of goods and services, access to travel, road safety, food safety, number of people with cars or cellphones, percentage of homes with televisions, microwaves, air conditioning, computers, cabernet..

roadrunner

The only real bubble is a 40 yr old one that started in 1971 as world currencies floated. All other perceived "bubbles" have emanated from that one.

Another obvious >50 yr old bubble is the continuing increases in heart disease, cancers, diabetes, alzheimers, etc. A bubble brought to us via processed
and packaged foods loaded with chemicals and additives.

roadrunner

CoinCrazyPA

Another obvious >50 yr old bubble is the continuing increases in heart disease, cancers, diabetes, alzheimers, etc. A bubble brought to us via processed
and packaged foods loaded with chemicals and additives.

Most Americans still do not understand the effects of this. Well put, Mike

Baley

the increase in the rates of detection and treatment for those conditions have also increased, concurrent with increased longevity, meaning people don't die of polio or tuberculosis as often these days, so the live long enough to develop "rich man's disease" like those you mentioned, and gout, for example. Correlations do not always prove causative relationships.

you know what they say about statistics.