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To: Return to Sender who wrote (12767)	6/26/2013 3:36:12 PM
From: Jacob Snyder	1 Recommendation Recommended By Gottfried Read Replies (1) \| Respond to of 13403

OT: <Silver will see $4 to $5 prices again.> Silver didn't get that low, even in 2008. Unlike gold, silver has a lot of industrial uses, and is therefore consumed. Assuming demand doesn't collapse (yes, that could happen in a global recession), prices have to be high enough to support production. Silver miners have all-in production costs of $21-25/ounce today. At silver prices below $25, exploration and new mines fall off sharply. At silver prices below $20, high-cost miners start reducing production. If those prices continue for more than a few months, mines start getting shut down, and leveraged producers start going out of business. Short of Armageddon, I don't see how silver gets to $5. Disclosure: I have no current position in any gold or silver miner.