Joan, is not the coming of digital photography going to put a major dent in silver demand? Could it be that silver is low simply because there is too much available, and if the prices go much above $5.5/oz, a lot of new capacity s ready to come on line. Unless we have a major bout of inflation, for which we need to have a lot of excess capacity (not just in silver) closed, I don't see the case for the "noble ones". Even the gold stocks, that had an excellent move, should slowly be taken off the table, unless you think that $330 will be taken out. GATA is right, there is a conspiracy to keep gold under that price, but I don't consider this a conspiracy when everyone (particularly all the CB's) know of that (g). I think that the recent run might have been initiated in Asia, particularly in Japan, but as Japanese investors have shown time and again, they rush into an asset as it peaks, so I would now be more careful about the yellow one.
Zeev |
