When Siver goes through the roof!

[StackerNoob]

3 hours ago, sixgun said:

If silver tracks inflation AND it is suppressed, are you saying if it weren't suppressed it would not track inflation?

It is generally said gold is a good hedge. The research bears that out. The GS ratio has climbed - it hovers around 80. Silver has depreciated against gold. Accepting gold tracks inflation or thereabouts this would indicate silver has been a relatively poor tracker of inflation.

i do not agree silver has been a good tracker of inflation - i totally agree the price is heavily suppressed. When it escapes the straight jacket it will have a lot of catching up to do b/c its price has not kept up.

No I'm not saying that at all. What I mean is that something that is priced £10 and goes up to £11 tracks inflation if inflation is 10%. But so does something priced £1 that goes to £1.10. They are both tracking inflation equally, but one is cheaper. If the price were not suppressed silver would still track inflation to the same degree relatively, just at a higher nominal price. 

At least thats my opinion. The GS ratio disparity just confirms the silver price suppression in my opinion.

In any case I hold both so Im good.

[sixgun]

14 minutes ago, StackerNoob said:

No Im not saying that at all. What I mean is that something that is priced £10 and goes up to £11 tracks inflation if inflation is 10%. But so does something prcied £1 that goes to £1.10. hey are both tracking inflation equally, but one is cheaper. If the price were not suppressed silver would still track inflation to the same degree relatively, just at a higher nominal price. 

At least thats my opinion. The GS ratio disparity just confirms the silver price suppression in my opinion.

In any case I hold both so Im good.

Agreed the absolute price of an index tracker is not important - you never said it was and neither did i.

Gold has been a decent hedge against inflation - we hear the often quoted example of the Roman toga and sandals for an ounce of gold (i suspect this is mythical rather than actual) and the same gold would buy an top class suit and shoes today. Evidence it is said gold has held its value.

Silver on the other hand has not tracked inflation. Its price has not kept up. If we call a Morgan dollar roughly an ounce and the $20 Liberty piece roughly an ounce, gold was 20x more valuable. So if we accept gold has kept up with inflation, if silver had done the same, then the GSR should be 20 and silver should be selling at $64/oz which clearly it isn't and it isn't anywhere never that.

This is the reason you say the silver price has been suppressed b/c in general 'we' believe silver should have kept up with inflation and b/c it hasn't we suspect the price has been suppressed. There is ample evidence it has.

This is exactly why i buy much more silver than gold b/c i believe when the suppression stops silver will greatly outpace gold in price.

[Roy]

Just for fun, and because I don't know the answer....

What would an ounce of silver have bought in Roman times compared to now? (toga analogy)

[swAgger]

5 minutes ago, Roy said:

Just for fun, and because I don't know the answer....

What would an ounce of silver have bought in Roman times compared to now? (toga analogy)

At least a lengthy tavern crawl, on to Stringusfellus' nightclub, quick stop at the local thermopolia and still have enough left over for the last cart home.

[Roy]

 Sounds like a night out in Roscommon...?

Have we met? 

[sixgun]

1 hour ago, Roy said:

Just for fun, and because I don't know the answer....

What would an ounce of silver have bought in Roman times compared to now? (toga analogy)

• The main Roman coin in use throughout the ancient world was the Denarius.
• Minted during 211 BC to 275 AD
• Slightly smaller then a Washington Quarter.
• Silver content (originally) was 1/10 troy ounce.
• The average pay for a Roman soldier (or field laborer) was 1 Denarius.
• 1 troy ounce of silver in your hands is equivalent to 10 paid workdays for a Roman soldier.

Silver has gone to the dogs.

[Roy]

Let's hope history repeats itself

[Xander]

It must have been great to live during the Roman era.

[Roy]

Unless you were a slave

[Xander]

Or a Centurion during a decimation exercise.

[jacobkenn]

I am very new to silver just started this month started by buying 25 britanias my plan is to buy 10 a month as long as price is right. So I've not really thought about when I would sell them my plan was just to buy until I retire and if I get a nice price for them cash in if not leave them for my kids they will sell them b4 I am cold at what ever spot is but they will not have a clue if my coins made a profit or not

At what spot price would you stop buying at

[StackSellRepeat]

@jacobkenn can’t go wrong with British .500 silver coins, usually most of the time you buy them at spot or if your lucky under, as these coins where genuine currency there should always be some value.

[Bullionbilly]

17 minutes ago, jacobkenn said:

I am very new to silver just started this month started by buying 25 britanias my plan is to buy 10 a month as long as price is right. 

 

Just a bit of food for thought.... if you hadnt already, look at vaulting orders with the likes of gs.be , that way you only pay post once and lower the costs per oz. Failing that if you need a monthly fix @BackyardBullion 's group orders maybe of interest  

[jacobkenn]

Thanks@Bullionbilly do we know if there will be a may group order

[PansPurse]

11 minutes ago, jacobkenn said:

Thanks@Bullionbilly do we know if there will be a may group order

Plan is (last I heard) to open next group order once this one is in, so sometime in the next week or so. There should be a new thread in the "General Precious Metals" section when that order opens